Why the Boss Energy (ASX:BOE) share price is tanking 18% today

Boss Energy’s shares are plunging lower alongside most of the company’s ASX uranium peers.

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The Boss Energy Ltd (ASX: BOE) share price is sinking despite no news coming out of the Australian uranium producer.

Boss Energy isn’t alone in its losses. The S&P/ASX 200 Index (ASX: XJO) has fallen at one point more than 2% – or 150 points – today. Additionally, the S&P/ASX 200 Materials Index (ASX: XMJ) is down a whopping 3.6% at the time of writing.

While Boss Energy doesn’t call either index home, it’s suffering alongside its uranium peers that do.

The Boss Energy share price is currently 28.5 cents, 17.39% lower than its previous close.

Let’s take a look at what’s dragging down ASX uranium stocks today.

Why Boss Energy in the ASX red today?

Boss Energy’s shares are plunging lower alongside most of the company’s ASX uranium peers.

As The Motley Fool reported earlier today, ASX uranium shares might be falling in reaction to some of the world’s largest uranium companies struggles on other exchanges on Friday.

Of course, Australia and the ASX wake up and get to trading first. Therefore, by the time global uranium stocks tumbled on Friday, ASX market watchers had likely packed up for the weekend.

Meaning, today was the first chance many ASX investors had to react to the apparently shifted stance on uranium.

Additionally, today’s fall follows an incredible recent gain which saw the Boss Energy share price boosted 150% in a month.

Even with today’s losses, Boss Energy’s stock is still 103% higher than it was 30 days ago.

Boss Energy’s great month came as the price of uranium soared amid a feared shortage of the material.

However, the price of uranium hasn’t fallen today.

That likely means Boss Energy’s stock’s struggles could simply be a rebalancing of the ASX uranium market amid a broader materials slump.

Boss Energy share price snapshot

Boss Energy’s shares are currently 190% higher than they were at the start of 2021.

They are 265% higher than they were this time last year.

Should you invest $1,000 in Boss Energy right now?

Before you consider Boss Energy, you'll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now... and Boss Energy wasn't one of them.

The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of August 16th 2021

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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