Investing in uranium stocks provides many of the common benefits of the stock market, including liquidity and ease of access. Given its radioactive nature, uranium cannot be invested in as a physical commodity. This is dissimilar to other raw materials such as gold, silver or crude oil, which traders can purchase and store.

How to invest in uranium futures?

Some of its top holdings are Cameco, which weighs in at 19.86 percent; Kazatomprom at a weight of 19.81 percent; and NexGen Energy, coming in at 7.23 percent. The Sprott Junior Uranium Miners ETF is a recent addition to the uranium ETF universe. This is another concentrated, mostly international portfolio with just 37 holdings at present. It’s mighty top-heavy too, though the exposure is spread around a little bit more at the very top than URA. Namely, Cameco is near the top at 13.5%, but Kazatomprom makes up 13.7%, and the Sprott Physical Uranium Trust is another 14.5%. Yields represent the trailing 12-month yield, which is a standard measure for equity funds.

One of the easiest ways to invest in uranium is through uranium-related stocks. Big mining and production companies like Cameco, Kazatomprom, BHP and Rio Tinto all offer uranium exposure in the stock market. You can also invest in smaller or more niche companies like Uranium Energy Corp and Yellow Cake PLC. Nuclear energy promises to fill these gaps as smaller, safer, more efficient models hit the market. soros and rockefellers take first steps to invest in cryptocurrency The United States recently buffed its nuclear sector with $30 billion in tax credits to encourage nuclear power.

Uranium is a natural, non-renewable resource that is used as an alternative energy source to typical fossil fuels such as coal and natural gas. It is a highly unstable element used in nuclear power plants across the world. Although it is a commodity, uranium cannot be traded directly due to its radioactive nature. Instead, investors can gain exposure to uranium through stocks and exchange-traded funds (ETFs) that represent companies involved in the mining and production of uranium.

1. Factors such as company management and the overall stock market can affect these trades.
2. In a May 2024 interview with INN, Ben Finegold shared his thoughts on uranium’s market dynamics, which he remains very bullish on.
3. The recent launch of the world’s largest physical uranium exchange-traded fund (ETF), the Sprott Physical Uranium Trust Fund (SRUU.F -0.26%) has been an even bigger catalyst.

Sprott Physical Uranium Trust Fund

Uranium is a relatively clean burning source, as a tiny amount can produce the same amount of power as coal, without the same harmful emissions that coal releases into environment. If NuScale Power ever starts building SMRs, it could be a game-changing technology in the nuclear power sector. This is a high-risk play, of course, but investors who think long term might like the prospects here.

And it is clean energy that is always available, unlike intermittent power sources like solar and wind. There is one important caveat with Cameco that is true of virtually all miners. Cameco sells a sap commerce cloud commodity, and thus its top- and bottom lines will rise and fall along with the price of uranium.

Uranium stocks to watch

Following stochastic oscillator settings for 1 hour chart the catastrophe, Japan shuttered its nuclear power plants, with many countries following suit or re-evaluating their own nuclear plans. Uranium’s radioactive properties allow it to produce massive amounts of emissions-free energy at greater reliability than wind and solar. Long-term investors can buy uranium stocks through the process of share dealing. This involves paying the full value of the asset upfront to take on a ‘buy-and-hold’ approach. When share dealing, you take full ownership of the stock and cannot trade on both sides of the market.

Marko has been working on the road for over 5 years, and is currently based in Europe. Alongside writing and editing, Marko works on projects related to online technology and digital marketing. In fact, for many segments of the economy, demand for electricity is inelastic. According to the International Energy Agency, by 2035 more than 90% of net energy demand will derive from emerging economies. The contract trades globally on the CME Globex platform and has various expiration months. The Chicago Mercantile Exchange (CME) offers a contract on U308 (triuranium octoxide), the form in which uranium is mostly found in nature.

For all you know, the Sprott Physical Uranium Trust ETF could turn out to be one of your biggest winning uranium stocks in the long run. New cities will require increasing amounts of electricity to power businesses and homes. As more countries seek to curb pollution while meeting energy demand, nuclear power demand could grow. If you prefer to avoid the perils of stock picking, you can jump into uranium via exchange-traded funds (ETFs).

The company provides crucial capital to the uranium mining industry while providing easy(ish) access for everyday investors. Of course, these large mining companies are not the last word in the market. In fact, there are quite a few mid-tier and junior uranium exploration companies that investors may want to take a closer look at. As a starting point, check out our list of the top-performing TSXV- and TSX-listed stocks and our list of the biggest ASX-listed uranium stocks. Uranium Participation is a Canadian holding company that invests the majority of its assets into uranium, both in the form of uranium oxide in concentrates (U3O8) and uranium hexafluoride (UF6).