By Justin Spittler, editor, Casey Daily Dispatch
This is probably going to sound cliché.
So forgive me.
But it’s useful advice. It can mean the difference between losing a lot of money on stocks and bagging huge returns.
“Skate to where the puck is going, not to where it has been.”
This is, as you may already know, a Wayne Gretzky quote. It’s why he’s the National Hockey League all-time leader in goals, assists, and points.
This philosophy works with investing, too.
• In short, you want to buy assets before the crowd piles in…
And one way to do this is to buy stocks other investors hate or simply ignore.
Here’s an example…
You’re looking at the performance of the Global X MSCI Greece ETF (GREK) over the past 12 months. This fund invests in a basket of Greek stocks.
You can see that GREK is up 33% this year. That makes Greek stocks one of the top-performing markets on the planet.
It’s up 22% since I told readers to consider speculating on them on November 14. But here’s the thing.
• No one was talking about investing in Greek stocks back in November…
And why would they?
Greek stocks had been obliterated…
The Athens Stock Exchange was down 20% since the start of 2018… and down 85% since 2008.
The Greek economy was also a mess. It had shrunk by 26% over the past decade. And unemployment was running at 20% – five times the U.S. unemployment rate at the time.
It was a “blood in the streets” situation – the sort of opportunity we love here at Casey Research.
Of course, you should never buy something just because it’s cheap. There also needs to be something that will cause that asset to appreciate in value. And we had that with Greek stocks.
• The political situation in Greece was improving…
I wrote in November:
Kyriakos Mitsotakis could be Greece’s next prime minister…
Mitsotakis is a Harvard-educated politician and the leader of the New Democracy party.
But unlike most Greek politicians, Mitsotakis has different plans for Greece. He doesn’t want to turn the country into a welfare state. Instead, he wants to spur investment.
Since then, Mitsotakis has emerged as the clear favorite to become Greece’s next leader. This is good news for Greece’s economy. It’s why Greek stocks skyrocketed this year.
But don’t worry if you missed this run-up.
Another “blood in the streets” opportunity is staring us in the face right now.
And this one could deliver much bigger returns than what we’ve seen with Greek stocks.
• I’m talking about uranium stocks…
If you’ve been reading the Dispatch, you know the uranium market’s taken a beating in recent years.
The price of uranium fell 88% from June 2007 to November 2016.
This staggering decline forced many uranium companies to shut down. In fact, Forbes recently said that there were 450-plus companies in the uranium space prior to Fukushima. And the market capitalization of publicly traded uranium stocks was approximately $130 billion.
Today, there are about 40 uranium companies worldwide. Together, these companies are worth only about $10 billion. Put another way, the entire uranium market is worth about as much as Beyond Meat (BYND) – a company that makes plant-based hamburgers.
So it shouldn’t come as a surprise that most investors want absolutely nothing to do with them.
But the average investor is overlooking something important…
• Nuclear power is absolutely critical to the economy…
It accounts for 10% of the world’s power and 20% of America’s power needs.
In other words, nuclear power isn’t going away. If it did, one out of five lightbulbs in the United States would go dark.
Not only that, demand for uranium is headed much higher in the coming years. And China is a big reason why.
Take it from Dave Forest – our in-house geologist and editor of International Speculator:
China has lots of nuclear projects it could choose to activate. Planned and proposed projects across the country would add 162,476 megawatts electric of capacity. That would triple China’s overall nuclear generation.
And several recent moves from China’s uranium companies support a coming surge.
That alone is reason to be bullish for uranium. But it’s not the only reason.
• The global uranium supply is also precarious…
More from Dave:
An average nuclear power plant needs about 1.65 million pounds of uranium at start-up. Meaning the nearly 600 planned, proposed, and under-construction projects globally require nearly a billion pounds of uranium for commissioning.
Right now, the global uranium mining sector produces just under 155 million pounds of U3O8 yearly. So new reactor start-ups could potentially soak up 6.5 years’ worth of all uranium produced on Earth – and that’s on top of demand from the over 400 reactors already in operation.
The United States only produces about 7% of the uranium it uses.
Dave sees a “supply crunch” on the horizon…
This is when the market can’t supply enough of a commodity to meet demand. It’s bullish for prices.
• So consider speculating on uranium if you haven’t yet…
You can easily do this with the Global X Uranium ETF (URA). This fund mostly invests in a basket of uranium stocks.
It’s a decent way to profit off higher uranium prices. But it’s not the best way. I say this because URA also invests in gold miners, diversified miners, and industrial companies.
In short, it’s not a pure play on uranium. Because of this, you’ll want to own individual uranium stocks to take advantage of this contrarian opportunity.
The problem is that most investors don’t know where to begin with uranium stocks.
• That’s where Dave can help…
You see, Dave’s a true insider in the commodity space.
And he’s handpicked two uranium stocks that he believes should rip higher in the coming months. Both are still in buy range today. You can access these names, and all of Dave’s research, with a subscription to International Speculator.
Not only that, by signing up today, you’ll also get your hands on Dave’s brand-new report that details another metal set to soar… one no one’s talking about.
You’ll want to hear about this huge opportunity from Dave himself. He explains everything you need to know here.
Editor, Casey Daily Dispatch
Market Insight: Esports… the Next Billion-Dollar Industry
By Houston Molnar, analyst, Casey Daily Dispatch
Video gamers are getting paid more than Tour de France champions.
That’s not a typo…
As you can see in the graphic below, competitive video gaming – or “esports” (electronic sports) – is big money.
The total prize pools for esports competitions make up four of the top 13 cash prizes among major sports worldwide. The International, one of the largest esports competitions, awarded more money than the Indy 500 and the Masters Tournament combined.
As we showed you last month, esports is about to become a billion-dollar industry.
Strategic Trader editor E.B. Tucker has been following this massive trend since the beginning. And he says this boom is just getting started:
This is a serious trend. Before you scoff at esports as a nothing business, consider revenue looks set to cross $1 billion this year. That’s up five times from 2014. Estimates forecast another 80% increase by 2022.
Money’s flowing into esports. And people are tuning in to watch these competitions at a record pace…
According to market research firm Newzoo, the number of esports viewers reached 395 million in 2018. That’s up 195% from 2012. And that’s four times the 98 million viewers who tuned in to watch the Super Bowl this year.
As E.B. says, this industry will be a huge money-maker in the years ahead. And now’s the time to take advantage…
– Houston Molnar
P.S. E.B.’s found a unique way to profit off this megatrend. In short, he’s bet on a company that owns esports arenas as well as its own esports team. And that’s not even the most interesting part.
You see, E.B. didn’t tell his readers to buy this company’s stock outright.
Instead, he found a backdoor way to invest in this incredibly promising business. This unique strategy offers unlimited upside with little downside risk. It’s the sort of investment that E.B. focuses exclusively on in his new venture, Strategic Trader.
Learn how to access this name – and exactly how E.B.’s strategy works – by going here.