Australia’s Deep Yellow is on the path for growth, with a final investment decision for its Tumas project in Namibia anticipated soon. Macquarie projects significant advantages for the company, maintaining an outperform rating with a price target of A$1.90 per share. Current stock trends show a decline of 10.7% year-to-date.
Macquarie has identified a potential growth trajectory for Australia’s uranium mining company, Deep Yellow. The brokerage anticipates that the final investment decision (FID) regarding the Tumas project in Namibia will occur within weeks. This decision is crucial, as it could position Deep Yellow to begin production by early 2027.
Moreover, the Tumas FID may afford Deep Yellow an early-mover advantage in the contracting market, particularly as competitors like NexGen and Denison face delays. Macquarie has maintained an “outperform” rating on Deep Yellow, setting a price target of A$1.90 per share.
Currently, four out of five analysts have assigned a “buy” rating to Deep Yellow’s stock, while one analyst indicates a “strong sell”. The mean price target, according to data from LSEG, is A$1.62; however, the stock has experienced a decline of 10.7% year-to-date.
In summary, Deep Yellow is poised for potential growth with the imminent decision on the Tumas project expected soon. The strategic advantages highlighted by Macquarie, coupled with favorable analyst ratings, indicate a promising future for the company, despite its current declines.
Original Source: www.tradingview.com
