Shares of the Denison Mines Corp. (DNN) stock climbed in the Pre-market on September 3, 2021, without any obvious reason. DNN stock price saw a push of 2.14% to reach $1.43 a share at the time of this writing. The stock was green in the previous trade and went high by 8.53% at closing. Let’s dig in to explore more of it.
What’s Happening?
Denison Mines Corp is a Canada-based company that operates via the development and exploration of uranium. DNN stock has no specific news in today’s date not even in the previous week to support the rally. It seems that the Reddit rally is pushing the stock high in the stock market. The last recent announcement of Denison stock is the results from Q2, 2021 on August 05, 2021.
DNN stock’s In-Situ Recovery (‘ISR’) field test Progress at Phoenix uranium deposit:
Denison stock has completed a portion of the ISR field test program at the Phoenix uranium deposit. It has installed five commercial-scale wells and nine out of eleven monitoring wells. DNN has now planned the initiation of multi-day pump and injection tests and ion tracer tests. These tests will be completed in the third quarter of 2021.
DNN stock’s Acquisition agreement with UEX Corporation:
Denison stock signed the acquisition agreement with UEX Corporation for the 50% acquisition of JCU from UEX. The consideration for this acquisition was $20.5 million. DNN stock completed the acquisition on August 03, 2021. Overseas Uranium Resources Development Co previously acquired 100% JCU of UEX for $41 million consideration. JCU’s portfolio consists of 12 uranium project joint venture interests in Canada.
Agreement with Sprott Asset Management LP:
Back in April, DNN stock signed an agreement with Sprott Asset Management LP to convert UPC into the Sprott Physical Uranium Trust. The transaction was completed on July 19, 2021, and the management services agreement between UPC and DNN stock was terminated. In connection with the termination, Denison stock received $5.8 million in cash.
Financial View of DNN stock:
For the period ended June 30, 2021, DNN recorded total revenue of $4.63 million and gross profit was $0.94 million. By the end of June 2021, Denison stock had $106.7 million in cash and short-term investments.
Wrap Up:
So far so good for DNN stock as far as market sentiment is concerned but no one knows how long the bullish trend will continue. Investors having long-term prospects do not bother with such rises and falls rather they focus on the overall development of particular stock.
