Which resource company could give your portfolio a healthy glow?
Tim Seymour says it's USEC Inc. a supplier of uranium to nuclear power plants.
Considering the growing interest in altnernative energy and a growing belief that nuclear power is safer than it was in the 1970's, this firm could be well positioned. And according to the company's website, USEC operates the only uranium enrichment facility in the United States; in Paducah, Kentucky.
Here are some more particulars:
USEC Inc. (USU)
-Based in Bethesda, Maryland
-Sector: Basic Materials
-Industry: Non-Metallic Mining
-Market Cap: $566 million
-52 Week Low $2.58
-52 Week High $7.24
-Down 29% over the last 52-weeks
What makes USEC a rising star stock?
It’s the only American company in the space, explains Tim Seymour. And it has the backing of the US government. Also, valuations look cheap and from a technical perspective it’s behaving well.
However, it's my rising star pick because I see a trigger for this stock that could send it much higher. The company is looking for a loan from the US government for $1.5 billion that will allow them to finish a project that creates thousands of jobs and puts nuclear power on the front burner. Watch for that announcement. If it comes through the stock could really move.
