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Valued at a market cap of $2.7 billion, Denison Mines (TSX:DML) is engaged within the acquisition, exploration, and growth of uranium-bearing properties in Canada. It holds a 95% curiosity in its flagship challenge, the Wheeler River uranium challenge, positioned within the Athabasca Basin area in northern Saskatchewan.
Over the past 5 years, DML inventory has returned over 300% to shareholders, outpacing the broader market by a big margin. Let’s see if the TSX inventory remains to be a very good purchase proper now.
Is Denison Mines a very good inventory to carry proper now?
Denison Mines reported notable progress on its flagship Phoenix In-Situ Restoration challenge in the course of the first quarter, because the Canadian Nuclear Security Fee (CNSC) scheduled vital public hearings for late 2025 that might clear the trail for development to start in early 2026.
The uranium developer has achieved roughly 75% completion of whole engineering for Phoenix and has already dedicated over $74 million towards long-lead capital purchases, positioning the corporate to take care of its steering for first manufacturing by mid-2028. If profitable, Phoenix would turn into the primary new large-scale uranium mine in northern Saskatchewan since Cigar Lake was commissioned in 2014.
The CNSC introduced that public hearings for the Wheeler River Uranium Mission will likely be held in two components on October 8, 2025, and between December 8-12, 2025, representing the ultimate step within the federal approval course of for the challenge’s Environmental Evaluation and Licence to Put together and Assemble a Uranium Mine and Mill. This timeline helps Denison’s plan to start development in early 2026 following anticipated regulatory approvals.
CEO David Cates highlighted Denison’s sturdy monetary place, noting it holds 2.2 million kilos of bodily uranium, maintains a sturdy money steadiness, and carries no debt. This monetary energy allows the corporate to fund each pre-Closing Funding Choice investments in Phoenix and future development initiatives.
Denison additionally reported encouraging developments at its McClean Lake Joint Enterprise with Orano Canada, the place website preparation actions have recommenced for the anticipated begin of mining on the McClean North deposit utilizing the patented Floor Entry Borehole Useful resource Extraction mining technique.
Denison has been actively increasing its exploration publicity by way of strategic partnerships. It entered agreements with Cosa Sources and Foremost Clear Power, collaborating on the exploration of a number of non-core properties.
Early outcomes have been promising, with Cosa figuring out a two-kilometre strike extension of the Hurricane Development on the Murphy Lake North property, whereas Foremost reported a brand new uranium mineralization discovery on the Hatchet Lake property. On the company stage, Denison strengthened its board with three new appointments in the course of the quarter.
What’s the goal value for the TSX mining inventory?
Analysts monitoring Denison Mines anticipate gross sales to rise from US$2.79 million in 2024 to US$637 million in 2029. Whereas Denison reported a loss per share of US$0.07 in 2024, it’s forecast to report adjusted earnings per share of US$0.31 in 2029.
The uranium mining firm can be projected to finish 2029 with a free money circulate of US$265 million, in comparison with a US$119 million outflow in 2025.
If DML inventory is priced at 15 instances ahead earningswhich is kind of cheap, it is going to commerce round US$4.65 per share in early 2029, indicating an upside potential of over 100% from present ranges. In accordance with consensus estimates, the TSX mining inventory trades at a 31% low cost as of July 2025.
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