It has only been six years since the boom, but some investors have forgotten the lessons learnt, with rumors and market chatter seemingly having a more profound effect on share valuations than earnings and cash flow. The latest investing fad is uranium stocks, with the previously unloved nuclear ingredient suddenly becoming the flavor of the month.

Australia’s only independent uranium producer, ERA (which is 69% owned by Rio Tinto), has seen its shares increase from $2.00 to $21.60 now in three years – a classic ten-bagger (ERA would be even higher had they not unwisely sold a significant amount of their output in long-term contracts at a level well below the current spot price). Paladin has been even more impressive, rising from $2.00 to $8.80 in just twelve months.