The stock market, though maybe not by some GAAP accounting-based measures, is at its all-time high valuation. In other words, this is a bigger stock bubble than 1929, 1987, 2000, 2008 and 2022. Using “hold the accounting accountable” numbers, like market cap to free cash flow, the valuations are at all-time highs. To be sure, the stock market could be in a “Weimar” phase. As discussed in the podcast, the Fed has actually been printing money per the M2 statistics.
How to make money from this. The precious metals sector has been the best performing sector this year. The micro-cap project development stocks have lagged by a considerable amount. As long as the bull market in precious metals continues, it’s a good bet that many micro-cap junior mining stocks have, minimally, 3-5x potential. I cover – AND OWN – 4 stocks that I think have minimally 10-20x potential. I’ll note that I pounded the table on Silvercrest Metals at 16 cents in 2016. Coeur Mining just acquired Silvercrest for over $11 per share. Not a bad ROR.
The KE Report invited me to discuss the macro economy plus we drilled down to the precious metals sector. In addition to my outlook for the sector, I mention a few stocks that I think will be home runs.
I publish the Mining Stock Journal every two weeks. Unlike most Seeking Alpha Einsteins, I chat with and have relationships with every company I follow and recommend. I also put my money where my mouth is. You can learn more about the Mining Stock Journal here: LINK