CCJ

[WallStreetnBio]

BUSINESS SUMMARY   
Cameco Corporation, together with its subsidiaries, engages primarily in the exploration, development, mining, refining, conversion, and fabrication of uranium for sale as fuel for generating electricity in nuclear power reactors in Canada and internationally. It operates in four segments: Uranium, Fuel Services, Electricity, and Gold. The Uranium segment involves in the exploration for, mining, milling, purchase, and sale of uranium concentrate. It operates four mines in Canada and the United States, and has two mines under development, one each in Canada and Central Asia. The Fuel Services segment involves in the refining, conversion, and fabrication of uranium concentrate, and the purchase and sale of conversion services. It also manufactures fuel bundles for use in Candu reactors. The Electricity segment involves in the generation and sale of electricity. This segment includes the company's 31.6% interest in Bruce Power Limited Partnership, which operates four Bruce B nuclear reactors located in Ontario. The Gold segment involves the exploration for, mining, milling and sale of gold. It owns a 100% interest in Kumtor mine located in the Kyrgyz Republic, and a 95% interest in the Boroo mine in Mongolia. This segment also has a 100% interest in the Gatsuurt property in Mongolia, and a 62% joint-venture interest in the REN property in Nevada. The company was founded in 1987 and is based in Saskatoon, Canada.

Business Outlook
In the first quarter of 2007, Cameco realized an average price of just $24 (U.S.) per pound. If uranium spot prices average $100 (U.S.) a pound this year, Cameco expects to realize an average price of $39.75 per pound for the rest of the year. At the same average spot price, Cameco expects to realize a selling price of $58.25 in 2008 but only $48 per pound in 2009.

Once the legacy contracts are out of the way Cameco will be able to realize much higher spot prices.  Current spot prices are $139.

[WallStreetnBio]

$100 Price Target by End of 2007

CCJ has historically always had a 40-50 P/E ratio.  The current earnings for this quarter were .52 cents.  If CCJ didn't grow at all for the rest of the year 2007 EPS would be $2.08.  The stock price $42 divided by earnings $2.08 gives you a P/E ratio of 20.  Now what if the P/E ratio goes up to where it has always been?  Let's say the P/E ratio is 40 times the EPS of $2.08 gives you a stock price of $83.20.  Remember this isn't factoring growth.

Let's assume CCJ earns $2.50 for 2007 which is more realistic.  With a P/E ratio of 40 you have a $100 stock.

[422fwhp]

RTP for CCJ? (rumor...)

nice volume too....