Cameco Surges 4.87% on Rate Cut Signals Analyst Upgrades and Uranium Rebound Trading 302nd Most Active with $340M Volume

On August 22, 2025, Cameco (CCJ) surged 4.87% with a trading volume of $340 million, ranking 302nd in market activity. The stock's rise coincided with multiple catalysts influencing its performance

One key driver was the Federal Reserve's signal of potential rate cuts amid softening economic data and weak labor market growth. This dovish outlook supported broader equity markets, including resource-related equities like Cameco. Additionally, two major analysts raised price targets for the stock within a 48-hour window. Raymond James increased its target to C$120, followed by National Bank Financial setting a C$115 target. These adjustments reflected growing confidence in the uranium miner's valuation despite limited public rationale from the institutions

Commodity fundamentals also contributed to the rally. Uranium prices, which had reached a trough on July 18, showed a $3-per-pound recovery since mid-June. This price rebound directly benefits Cameco as a major uranium producer. However, valuation metrics remain elevated, with the stock trading at 47 times trailing free cash flow and an 80 price-to-earnings ratio

Backtesting analysis of a volume-based trading strategy (buying top 500 stocks by daily trading volume and holding for one day) from 2022 to 2025 showed 0.98% average daily returns. The strategy generated 31.52% total returns over 365 days with a Sharpe ratio of 0.79, though it experienced a maximum drawdown of -29.16% during market downturns