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News  ›  The Motley Fool

Better Energy Stock: ExxonMobil vs. Cameco

The Motley Fool Logo The Motley Fool By Courtney Carlsen
Better Energy Stock: ExxonMobil vs. Cameco

The article compares two energy stocks with different growth trajectories. Cameco, a uranium miner, benefits from nuclear energy expansion but trades at an expensive 65x forward earnings valuation. ExxonMobil, an integrated oil and gas company, offers better value at 17x forward earnings with opportunities in natural gas and LNG, making it more suitable for value investors.

Insights
BMLpG   neutral

Berkshire reduced its position by 6%, indicating a modest portfolio adjustment without strong negative or positive signals


CCJ   positive

Strong long-term growth opportunity from nuclear energy expansion and tripling of global nuclear capacity by 2050. Stock has surged 80% recently. However, sentiment is tempered by expensive valuation at 65x forward earnings, making it suitable only for growth-oriented investors.