What happened to the Paladin Energy share price on Tuesday?

It was a tough day for this ASX uranium share…

| More on:
a sad looking engineer or miner wearing a high visibility jacket and a hard hat stands alone with his head bowed and hand to his forehead as he speaks on a mobile telephone out front of what appears to be an on site work shed.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Key points

  • The Paladin share price suffered on Tuesday, slumping 2.6% to trade at 94 cents
  • Its slip followed a slight dip in the price of uranium and a rough day on international markets for notable global uranium-focused funds
  • At least Paladin wasn't alone in its fall. Many of its ASX peers also saw their share prices fall today

The Paladin Energy Ltd (ASX: PDN) share price finished in the red on Tuesday despite the company's silence.

However, the price of uranium – the commodity the company produces – has seemingly levelled out over the last few days after spiking last week.

Additionally, notable global funds invested in the energy commodity struggled overnight.

As of Tuesday's close, the Paladin share price is 94 cents, 2.59% lower than its previous close.

For context, the S&P/ASX 200 Index (ASX: XJO) gained 0.55% on Tuesday.

Meanwhile, the Paladin share price dragged on the S&P/ASX 200 Energy Index (ASX: XEJ). Though, the sector still managed a 1.29% gain.

Let's take a closer look at what happened to the uranium producer's shares today.

What's been weighing on the Paladin share price?

The Paladin share price lost ground today despite the broader market's upwards momentum.

It was likely dragged down by the price of uranium. The commodity's value slumped slightly yesterday after appearing to stall for much of last week, according to Trading Economics.

Those movements (or lack thereof) followed its rally last Wednesday, which saw the commodity's value reach an 11-year high.

Perhaps unsurprisingly, the Paladin share price launched 9.64% on Wednesday and another 6.59% on Thursday. Thus, today's dip could be simple price-taking.

Interestingly, while the price of uranium hasn't gone far in recent days, the Global X Uranium EFT (exchange-traded fund) plunged 3.14% in Monday's session in New York.

Meanwhile, the Sprott Physical Uranium Trust – the world's largest physical uranium fund, listed on the Toronto Stock Exchange – also slumped 2.12% yesterday.  

Additionally, many of Paladin's uranium-producing peers were also in the red on Tuesday.

Deep Yellow Limited (ASX: DYL) released its quarterly activities and cash flow reports for the three months ended March 31 today. Its share price also ended in the red on Tuesday, slumping 1.32%.

That of Bannerman Energy Ltd (ASX: BMN) recorded a deeper loss, falling 3.17%.

The Boss Energy Ltd (ASX: BOE) share price was the outlier of the pack, gaining 3.36% on Tuesday.

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.

More on Energy Shares

A bearded man holds both arms up diagonally and points with his index fingers to the sky with a thrilled look on his face over these rising Tassal share price
Energy Shares

Why is the Beach Energy share price racing higher on Thursday?

This energy producer delivered some big news this afternoon.

Read more »

A person is weighed down by a huge stack of coins, they have received a big dividend payout.
Energy Shares

Own Ampol shares? Get ready for your monster dividend payment

Ampol investors are about to enjoy their largest-ever dividend.

Read more »

A man sees some good news on his phone and gives a little cheer.
Energy Shares

Buy Woodside shares for a 20% gain and 4.5% dividend yield

Morgans thinks investors could get big returns from this energy giant.

Read more »

Woman holding $50 notes and smiling.
Dividend Investing

A 36% yield from this ASX dividend share? Here's how these forward-looking investors made it happen

Some savvy passive income investors are earning a 36% yield from this ASX dividend star.

Read more »

A Paladin Energy miner wearing a hard hat and protective gear stands in front of a large mining truck and smiles to the camera.
Energy Shares

Uranium is set to boom, and this is the 'premium' ASX stock to buy

Shaw and Partners' Jed Richards reckons these are the shares to buy for the nuclear energy theme.

Read more »

Happy coal miner.
Energy Shares

How these ASX 200 energy shares could unexpectedly burn brighter

ASX 200 energy shares are facing rising global demand for their products.

Read more »

Worker inspecting oil and gas pipeline.
Energy Shares

ASX energy shares losing charge amid fresh warnings of gas supply shortfalls

Many energy commodity prices fell overnight and this is hitting ASX energy shares today.

Read more »

A miner stands in front oh an excavator at a mine site
Energy Shares

'We have reached a bottom': 5 ASX uranium shares leaping higher this week

ASX uranium stocks have enjoyed explosive share price growth over the past year.

Read more »