One-glance verdict
Not enough data
Fair value unavailable
Not enough cash-flow history to value this one with our method.
Fundamentals snapshot
Denison Mines Corp.
DNN · ASE · Energy · Uranium
Current price
$2.20
52-week range
$2.10 - $4.43
Market cap
$1.99B
Balance sheet
Distressed
-5.64x Concerning
Net debt $98.22M. Interest coverage shows how many times profit covers the interest bill.
What stands out
1 Reward
3 Risks
1 rewards · 3 risks
- Reward Revenue grew 22.2% last year.
- Risk Operating margin compressed from -406.9% to -2517.5% over 3 years.
- Risk Return on equity was -66.8% last year — the company lost money on shareholders' equity.
- Risk Insider ownership is only 0.3% (peer median: 4.1%).
What this company does
Denison Mines Corp.
Denison Mines Corp. explores for and develops uranium, a key ingredient for nuclear power, primarily in Canada's Athabasca Basin. The company's main source of potential future money comes from its significant ownership in the Wheeler River uranium project. This matters because as demand for clean energy grows, the value of companies that can reliably supply uranium could increase.
How the company got here
Denison Mines has a long history in the uranium industry, dating back to 1954 when it first acquired uranium claims in Ontario, Canada. The company was originally known as International Uranium Corporation before changing its name to Denison Mines Corp. in 2006. Over the decades, Denison has been involved in various aspects of uranium mining, including exploration, development, and even managing decommissioned mines. A significant part of its history includes operating the Denison Mine in Elliot Lake, Ontario, which was the longest continuous uranium mining operation in that area from 1957 to 1992. The company has also diversified its interests over time, though its primary focus remains on uranium. Denison's journey has involved strategic acquisitions and partnerships to build its current portfolio of assets, particularly in the Athabasca Basin region of Saskatchewan.
What it actually does
Denison Mines Corp. is a company focused on uranium. Uranium is a naturally occurring radioactive element primarily used as fuel for nuclear power plants to generate electricity. Denison's core business involves acquiring, exploring, and developing properties that contain uranium ore. They then work towards extracting this ore, which is a process that can involve different mining techniques. The extracted uranium is then processed into a concentrate, often referred to as 'yellowcake,' which is the form in which it's typically sold on the market. The company's activities are centered in Canada, particularly in the Athabasca Basin region of Saskatchewan.
Wheeler River
The Wheeler River project is Denison's flagship asset and is considered the largest undeveloped uranium project in the Athabasca Basin region. This project includes the Phoenix and Gryphon uranium deposits. Denison holds a significant majority interest, typically around 95%, in this project. The company is actively working towards bringing the Phoenix deposit into production using an in-situ recovery (ISR) mining method. ISR mining involves using liquids to dissolve uranium from underground ore and then pumping the uranium-bearing solution to the surface for extraction, which is generally less disruptive to the surface environment compared to traditional mining. Denison is progressing through the necessary permitting stages with the goal of starting construction in early 2026 and targeting first production by mid-2028.
McClean Lake
Denison Mines has a participating interest in the McClean Lake Joint Venture, which includes a uranium mill and mines. The company holds a 22.5% ownership stake in the McClean Lake mill. This mill is a crucial piece of infrastructure as it processes uranium ore. Denison's involvement here provides it with operational exposure and access to established infrastructure, which can reduce development risks for its other projects. The mill has been operational at various times, processing ore from different deposits, and Denison has been involved in its expansion to increase its licensed production capacity.
Midwest and Waterbury Lake
Denison also holds interests in other significant uranium projects, including the Midwest and Waterbury Lake projects. The company has a substantial ownership stake in the Midwest project, around 25.17%. For the Waterbury Lake project, Denison has a 70.55% interest and is developing plans for the Tthe Heldeth Túé deposit. These projects are located in the resource-rich Athabasca Basin, similar to their flagship Wheeler River project, and are part of Denison's broader portfolio of uranium assets.
What management is betting on now
Denison Mines' current strategy is heavily focused on advancing its Wheeler River project towards production, utilizing the in-situ recovery (ISR) mining method. Management believes this approach, combined with the high-grade nature of the uranium deposits, will position Denison as one of the world's lowest-cost uranium producers. The company is also strategically leveraging its stake in the McClean Lake mill to gain operational experience and potential near-term cash flow. Denison is actively engaging with Indigenous communities and regulatory bodies to secure the necessary approvals for its projects, recognizing the importance of environmental stewardship and community relations in its long-term success. The company's outlook is also influenced by the anticipated increase in global uranium demand, driven by the need for clean energy sources.
Price history
How the share price has moved
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Is it cheap or expensive?
Fair value — vs current price $2.20
We couldn't calculate a fair value right now.
Is it drowning in debt?
Distressed
Net debt $98.2M. Interest coverage -5.6x.
Net debt
$98.22M
Interest coverage
-5.64x
Denison Mines Corp.'s profit covers its interest bill about 0.0 times over. which is weaker than most peers shown here and 4 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Distressed
Worse cushion
Baseline
Better cushion
DNN
BASELINE
Denison Mines Corp.
Total debt $490.52M Interest coverage -5.64x This is the baseline the peer rows are being compared against.
Total debt $441.97M Interest coverage -1.92x Neither company has much profit cushion over interest right now.
Total debt $2.95M Interest coverage -64.30x Neither company has much profit cushion over interest right now.
Total debt $678.34M Interest coverage -609.37x Neither company has much profit cushion over interest right now.
Total debt $4.58M Interest coverage -20.07x Neither company has much profit cushion over interest right now.
What you should know
The case for and against DNN
1 Reward
3 Risks
Rewards
-
Revenue grew 22.2% last year.
Risks
-
Operating margin compressed from -406.9% to -2517.5% over 3 years.
-
Return on equity was -66.8% last year — the company lost money on shareholders' equity.
-
Insider ownership is only 0.3% (peer median: 4.1%).
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
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Forward P/E
-55.46x
P/B
9.69x
P/S
486.58x
EV/EBITDA
-38.08x
PEG ratio
106.92x
Profitability
How much profit each dollar creates
Gross margin
-90.9%
Operating margin
-2,517.5%
Net margin
0.0%
ROE
-66.8%
ROA
-5.9%
Health
Liquidity and balance-sheet strength
Debt / equity
2.38x
Current ratio
9.41x
Quick ratio
9.06x
Total debt
$490.52M
Total cash
$392.30M
Growth
How the business has been compounding
Revenue TTM
$2.92M
Revenue 5Y CAGR
-18.2%
EPS TTM
-0.22
EPS 5Y CAGR
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Cash flow
How much cash the business throws off
Operating CF TTM
$-48.64M
Free CF TTM
$-84.68M
FCF margin
-2,898.7%
Dividend
Shareholder payout
Yield
0.0%
Payout ratio
0.0%
Last ex-div date
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