Why Ur-Energy Inc (URG) Stock Might Be Hiding a Secret Risk

B. Riley Securities has recently initiated Ur-Energy Inc (URG) stock to Buy rating, as announced on February 2, 2024, according to Finviz. Earlier, on September 2, 2016, FBR Capital had initiated the stock to Outperform, setting a price target of $1. H.C. Wainwright also resumed Buy rating with a price target of $2.10. Additionally, Rodman & Renshaw initiated Mkt Outperform rating on August 10, 2011, with a target price of $2.52. Analyst ratings are significant because they provide insights into stock performance expectations, influencing investor decisions and market sentiment.

Ur-Energy Inc (URG) Stock Trading Recap

On Friday, Ur-Energy Inc (URG) stock saw a decline, ending the day at $0.98 which represents a decrease of $-0.02 or -2.00% from the prior close of $1. The stock opened at $1.02 and touched a low of $0.96 during the day, reaching a high of $1.02. The volume of shares traded was 4.48 million exceeding the average volume of 3.82 million.


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URG Stock Performance and Moving Averages

In recent trading, Ur-Energy Inc (URG) stock price has shown some volatility, fluctuating -2.29% over the last five trades and -14.29% over the past 30 trades. This represents a notable shift from earlier in the year. Over the last six months, the stock has risen by -8.68%, and it has plunged by -16.49% in the previous three months. Currently, URG is trading at -9.89%, -14.53%, and -24.11% relative to its 20-Day, 50-Day, and 200-Day Simple Moving Averages, respectively.

As of the latest trading close, URG, a Energy sector stock, is trading -48.44% below its 52-week high but remains 1.64% above its 52-week low. The Average True Range (ATR) (14 days) of 0.05 highlights the stock’s average volatility, providing insight into how much the price typically fluctuates. This measure is crucial for understanding potential price swings and assessing overall market risk.

Ur-Energy Inc’s Profitability and Valuation Ratios

Ur-Energy Inc’s profitability metrics reveal financial health. The company currently boasts an operating margin of -290.72% and a profit margin of -234.02%, with a gross margin of -8.68%. The profit margin, also known as the revenue ratio or gross profit ratio, measures how efficiently a company converts sales into net income; higher margins indicate greater profitability.

In terms of valuation, Ur-Energy Inc’s market capitalization stands at $355.76 million. Market cap represents the total value of all outstanding shares and is a key indicator of a company’s market value. Additionally, the Price-to-Sales Ratio is 21.57, reflecting the market’s valuation of the company’s sales, while the Price-to-Book Ratio is 2.32, comparing the market value to the company’s book value.

Understanding Insider Trading

Investors often prefer to invest in shares held by company insiders, as management is typically more aligned with the company’s success and shareholder interests. Currently, insiders own just 7.20% of Ur-Energy Inc (URG)’s shares, while financial institutions hold 69.79%.

Notable insider trades include Parker Thomas H, Director at Ur-Energy Inc (URG), who sold 193574 shares on Sep 26 ’24, at $1.22 each, totaling $0.24 million. On Sep 26 ’24, WALKER KATHY E, Director, sold 98846 shares for $1.24 each, amounting to $0.12 million. Additionally, on Sep 25 ’24, HUBER GARY C sold 97628 shares at $1.23 each, generating $0.12 million.

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