What happened to Paladin Energy shares last month?
The post Why did the Paladin Energy share price rocket 28% in July? appeared first on The Motley Fool Australia. –
The Paladin Energy Ltd (ASX: PDN) share price continued to climb throughout July, outperforming the broader index.
For the month, the uranium producerâs shares soared by 28% after a couple of company announcements shifted investor sentiment.
In comparison, the S&P/ASX 200 Energy (ASX: XEJ) sector lagged in July but still ended in positive territory â up 6%.
Letâs take a look at what moved Paladin Energy shares last month.
What led Paladin Energy shares to power ahead?
After hitting a near year-to-date low of 56 cents on 13 June, the Paladin Energy share price turned its fortunes around.
This came on the back of a positive release by the company regarding the Langer Heinrich Mine located in Namibia.
Management made the decision to restart activities at the site due to the continuing strong uranium market fundamentals.
Paladin Energy is targeting production of uranium with first volumes for the March quarter of the 2024 calendar year.
When the news broke out, investors sent the companyâs shares 2.36% lower because of a strong market sell-off.
However, the next day Paladin Energy shares roared 10.48% higher to 68.5 cents.
In addition, the company provided itsÂ June quarterly cash flow reportÂ on 26 July highlighting financial performance for the period.
Once again, the update excited investors and put the uranium producerâs shares on an upwards path until the end of July.
Over the last four days, its shares rose from a low of 62.3 cents to finish at 74 cents, up 18.7%.
According to ANZ Share Investing, a recent broker note by Bell Potter rated Paladin Energy at $1.05. Based on the current share price of 74 cents, this implies an upside of almost 42%.
Paladin Energy share price snapshot
With the uranium spot price rising to unprecedented levels, the Paladin Energy share price has accelerated by 45% in the past year.
Although its shares are down 16% in 2022. This is because of the extreme volatility that impacted the market earlier on.
Paladin Energy presides a market capitalisation of roughly $2.14 billion.
The post Why did the Paladin Energy share price rocket 28% in July? appeared first on The Motley Fool Australia.
When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.* Scott just revealed what he believes could be the “five best ASX stocks” for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now
See The 5 Stocks
*Returns as of July 7 2022
setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
Here are the top 10 ASX 200 shares today
Paladin Energy share price lights up on uranium project restart
Here are the top 10 ASX shares today
What is driving the Paladin Energy share price 7% higher today?
Will ASX uranium shares be market-beaters in FY23?
Motley Fool contributor Aaron Teboneras has positions in Paladin Energy Ltd. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.