RE:RE:RE:RE:Always Remember........You sound a bit like that Investment professional from England that specializes in Canadian resource exploration stocks, whom I used to refer to as 'Doormatt'.....I still wonder why he hasn't moved his operation TO CANADA?!....hmmm....why is that?
Yeah, everybody knows that the vast majority of resource exploration stocks don't work out......
So, you have to be very selective.
NFG has every sign that it is the exception, and I think that you are well Aware of this.
Even in spite of the fact that most resource exploration stocks dont become buy outs or commercial sucesses on their own, the undervaluation of these stocks today is simply incredible.
So, I search for other stocks that may make it, beyond NFG. But, it's hard to beat NFG.....but the teeny market caps of these exploration stocks is incredible.
But, I try to look for those that are along on the path to being mines, or at least appear to show they have commercial deposits.
These valuations won't last....it seems impossible to last. At some point the market is going to wake up to what appears to be crazy undervaluations, and these stock prices will be looked back upon as 'wish I had known about this - woulda coulda shoulda'.
So, pointing out that most resource exploration stocks fail may be significantly overstating the risk, given the ludicrous pricing of this sector.....there is probably many gems out there.
I think the younger generation in the West is making a big mistake in looking for 10-20 baggers in Crypto, when it appears to me that 10-20 and even higher 'baggers' are much more likely to be found in the precious metal and other resource exploration stocks (not Lithium, though, lithium is so common, and the EV switch out seems to me to be overstated....does a breakthrough in battery tech need to happen?).
The 'analysis' I see of crypto tokens is nothing more than, 'here is the price chart - I think Bitcoin is going to here'.
Tokens aren't businesses, and they have no way to generate cash flows. Resource stocks CAN BE analyzed by their projected deposits and cash flows, and the likelihood of becoming commercial deposits/ operations factored in.
AI stocks trade at impossible valuation parameters.....this isn't going to end well for these type of stocks, and will surely bring the general market down.
The extreme undervaluation of resource stocks will likely get recognized at some point, and this seems like a reasonable investment risk to take, and the extreme upside for finding the right specific investments in this sector appears to be well worth the risk, which risk at this valuation level for the sector may not be that great.