Market Trends & Drivers - Precious metals have surged this year, with gold rising about 55% and silver surging about 75% [1] - The rally in precious metals is driven by concerns about the future of the dollar, geopolitical instability, stretched stock market valuations, and expectations for rate cuts by the Fed [2][3] - Silver reached a new all-time high last week and surpassed a decades-old record last month [4] - Silver was trading at a premium in London over New York prices due to an unprecedented drop in inventories [4] - India and China are the largest consumers of silver for industrial use and jewelry [7] Silver's Industrial Applications - Silver has significant industrial uses in electronics, solar panels, and medical devices [5] - Silver is an excellent conductor of electricity and is used in circuit boards, switches, electric vehicles, and batteries [5] - Rising demand and stagnant supply have amplified silver's price rise [6] ETF Performance & Characteristics - iShares Silver Trust (SLV) is the largest silver ETF with 25 billion in assets under management and a 50 basis points expense ratio [8] - abrdn Physical Silver Shares ETF (SIVR) is a cheaper physically backed silver ETF with 37 billion in assets and a 30 basis points expense ratio [9] - Global X Silver Miners ETF (SIL) tracks companies involved in silver mining with 37 billion in assets and a 65 basis points expense ratio [10] - iShares MSCI Global Silver and Metals Miners ETF (SLVP) holds companies involved in silver exploration or metals mining with 585 million in assets and a 39 basis points expense ratio [10] - iShares MSCI Global Silver and Metals Miners ETF (SLVP) is up about 140% year to date, while Global X Silver Miners ETF (SIL) is up about 115% [12]

Core Insights - The current market environment is characterized as a "golden age of active investing," driven by mispricings and opportunities in smaller market cap securities and international stocks [10][14][61] - There is a significant disparity in market capitalization among the largest companies, with some reaching valuations of over $4 trillion, while smaller companies like American Airlines have market caps around $15 billion [12][13] - The focus on free cash flow yields is emphasized, with many large-cap tech companies exhibiting low yields compared to smaller or undervalued companies [19][90] Market Trends - Active investing has gained traction since 2020, largely due to the dominance of large-cap technology companies and the distortions caused by passive investing [10][11] - International markets, particularly in Europe, have shown strong performance, with the Italian ETF up 52.7% this year, indicating opportunities outside the U.S. [14][57] - The S&P 500's P/E ratio is currently around 31, which, while high, is not unprecedented compared to historical peaks [35][36] Investment Strategies - The strategy of being contrarian is highlighted, suggesting that investors should look for mispriced opportunities and consider free cash flow yields as a critical metric for investment decisions [9][89] - REITs, particularly Realty Income, are suggested as potentially undervalued due to a long period of underperformance, setting the stage for future gains [32][34] - The importance of starting valuation is reiterated, with a focus on companies that have high free cash flow yields as attractive investment opportunities [94] Valuation Metrics - Price-to-sales ratios are discussed as a key valuation metric, with many companies trading at multiples significantly above historical norms, indicating potential overvaluation [45][46] - The current market environment shows a bifurcation where some stocks are highly valued while others remain undervalued, suggesting a need for careful selection [47][61] Macro Economic Factors - The U.S. dollar's performance is noted as a significant factor influencing market dynamics, with a weaker dollar benefiting international investments and commodities [85][86] - The potential for interest rate cuts by the Federal Reserve is anticipated, which could impact various sectors differently, particularly those reliant on economic growth [68][71]

Core Insights - The COP30 climate talks in Belém, Brazil, have highlighted the "social and environmental risks" associated with the minerals necessary for the green transition, indicating a desire for electrification without the extensive mining typically required [1][2] - The political implications of mineral supply chains for electric vehicles (EVs), solar farms, and grid batteries have become more pronounced, signaling a shift in investor sentiment [2][6] Industry Implications - Indigenous groups from Argentina have raised concerns about the environmental impact of lithium extraction, which is critical for EV batteries, stressing the need for sustainable practices [3][4] - U.S.-listed mining companies such as Albemarle Corp, Lithium Americas Corp, and Sociedad Quimica y Minr de Chile SA are now viewed as part of a supply chain that requires reform, rather than mere expansion, due to the COP30 discussions [4][5] - The demand for minerals like lithium, nickel, and graphite is essential for companies like Tesla, while others in the solar sector, such as First Solar Inc and Enphase Energy Inc, depend on metals like copper and silver [5] Financial Considerations - If the discussions at COP30 lead to new policies or procurement guidelines, the cost structures and permitting processes for clean-tech minerals may undergo significant changes, impacting the financial outlook for companies reliant on these resources [6] - The political sensitivity surrounding lithium producers has increased, placing them on par with oil producers in terms of scrutiny, which could affect stock valuations and growth assumptions tied to mineral availability [7]

Core Viewpoint - MP Materials, as the only operating rare earth mining facility in the U.S., holds significant economic and national security importance, making any dips in its equity worth investigating as potential buying opportunities [1] Group 1: Stock Performance - MP stock has experienced an extraordinary increase of nearly 276% since the beginning of the year, with shares potentially available for under $20 at the start of 2025 [2] - Recently, MP stock has faced a valuation decline, losing almost 35% in the trailing month and about 5% last week, possibly influenced by institutional investors' options flow [3] Group 2: Market Sentiment - On November 11, net trade sentiment for MP stock fell more than $1.36 million below parity, indicating rising skepticism, but improved to $763,300 above zero by the following Friday, coinciding with a nearly 2% gain in stock price [4] - The volatility surrounding MP stock is significant, yet the geopolitical tensions regarding rare earth supply chains are escalating, suggesting that MP should be viewed as a potential upside opportunity [5] Group 3: Market Context - Current concerns regarding MP stock are likely tied to broader market correction fears, with experts warning of a potential crash in the tech ecosystem, raising questions about the pressure points leading to share sell-offs [6]

Core Viewpoint - Aris Mining Corporation (ARMN) shows a significantly improving earnings outlook, making it a solid investment choice as analysts continue to raise their earnings estimates for the company [1][3]. Earnings Estimates - Analysts' optimism regarding Aris Mining's earnings prospects is leading to higher estimates, which is expected to positively impact the stock price [2]. - The consensus earnings estimate for the current quarter is $0.53 per share, reflecting a year-over-year increase of +278.6%. This estimate has risen by 75% over the last 30 days, with no negative revisions [7]. - For the full year, the earnings estimate is projected at $1.23 per share, indicating a change of +261.8% from the previous year. The consensus estimate has increased by 16.13% due to one upward revision and no negative changes [8][9]. Zacks Rank - Aris Mining Corporation currently holds a Zacks Rank 1 (Strong Buy), which is based on favorable estimate revisions. This ranking is associated with a strong historical performance, with Zacks 1 stocks averaging a +25% annual return since 2008 [3][10]. - The Zacks Rank system is designed to help investors leverage earnings estimate revisions for better investment decisions [10]. Stock Performance - The stock has appreciated by 10.7% over the past four weeks due to strong estimate revisions, suggesting potential for further upside [11].

Core Viewpoint - Hudbay Minerals is positioned for growth with the Copper World project expected to significantly increase copper output by 50% starting in 2029, contributing to a positive stock performance and resilience amid operational challenges [1][3][6] Group 1: Company Overview - Hudbay Minerals focuses on copper and gold production, operating several mines in North and South America [1] - The company has a market capitalization of approximately $6.23 billion and a trading volume of 4,467,378 shares [4] Group 2: Recent Performance - RBC Capital upgraded Hudbay's rating to "Outperform" with a stock price of $15.77 and raised the price target from C$24 to C$26 [2][6] - The stock has surged by 54.6% over the past three months, driven by the momentum from the Copper World project and strong gold output [2][6] Group 3: Project Impact - The Copper World project is a key growth factor, expected to boost copper output significantly by 2029 [3][6] - Despite operational challenges, Hudbay has maintained low costs and steady cash flow from gold and silver, enhancing its market resilience [3][6] Group 4: Stock Volatility - Hudbay's stock is currently priced at $15.77, reflecting a slight decrease of 0.57% or $0.09, with fluctuations between a low of $15.09 and a high of $15.97 today [5] - Over the past year, the stock reached a high of $17.73 and a low of $5.95, indicating volatility and potential for growth [5]

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh. ...

Market Performance - Major U.S. indexes showed mixed performance last week, with the Nasdaq Composite, S&P 500, and Dow Jones Industrial Average declining by 2.7%, 1.4%, and 0.5% respectively [1] - Investors are shifting focus from high-valuation technology and AI stocks to more defensive sectors due to market volatility [1] Federal Reserve and Economic Data - The end of a 43-day government standoff has reduced political risks, but delays in key economic data releases have created uncertainty for the Federal Reserve and investors [2] - The Fed is balancing economic growth and inflation, with inflation remaining above the 2% target and a resilient labor market casting doubt on December rate cut expectations [2] Zacks Research Performance - Zacks Research has provided guidance that led to significant stock performance, with Macy's shares increasing by 14.9% since its upgrade to Zacks Rank 1 on September 18, outperforming the S&P 500's 2.2% increase [3][4] - Fresnillo plc also saw a 7.2% return since its upgrade to Zacks Rank 1 on September 19, compared to the S&P 500's 1.8% increase [4] Zacks Model Portfolio Returns - A hypothetical portfolio of Zacks Rank 1 stocks returned +8.64% in 2025 through September 1, outperforming the S&P 500's +7.60% [4] - The Zacks Model Portfolio has outperformed the S&P 500 index by over 12 percentage points since 1988, with an annualized average return of +23.8% compared to +11.3% for the S&P 500 [5] Specific Stock Performances - United Natural Foods, Inc. (UNFI) shares increased by 32.4% after its Zacks Recommendation was upgraded to Outperform [7] - Caterpillar Inc. (CAT) gained 35.9% over the past 12 weeks, while CACI International Inc. (CACI) returned 20.1% during the same period [10] Earnings Certain Admiral Portfolio (ECAP) - The ECAP returned -1.30% in Q3 2025, underperforming the S&P 500's +8.1% gain, and +2.72% year-to-date compared to the S&P 500's +14.84% [15] - The portfolio aims to minimize capital loss by holding shares of companies with a proven track record of earnings stability [16] Earnings Certain Dividend Portfolio (ECDP) - Johnson & Johnson (JNJ) returned 10.9% over the past 12 weeks, while UnitedHealth Group (UNH) increased by 5.9% [18] - The ECDP returned -0.01% in Q3 2025, underperforming the S&P 500's +8.1% gain [20] Top 10 Stock Portfolio - MasTec, Inc. (MTZ) has jumped 41.2% year-to-date, outperforming the S&P 500's 14.7% increase [22] - The Top 10 portfolio has produced a cumulative return of +2,553.1% since 2012, significantly outperforming the S&P 500's +545.2% [24]

Core Insights - Emerson has been selected by South32 to provide advanced automation solutions for the Hermosa mine project in Arizona, marking it as South32's first 'next generation mine' project [1][4] - The Hermosa project aims to produce critical minerals such as zinc, silver, and lead, with global demand for these metals expected to rise by 10-25% by 2035 due to industrial growth and renewable energy expansion [2] - Emerson's automation technology will enhance safety, efficiency, and environmental performance at the mine, utilizing a centralized control system to monitor and optimize operations [3][4] Company Overview - Emerson is a global industrial technology leader specializing in advanced automation, with a focus on optimizing business performance through intelligent devices and control systems [6] - The company is headquartered in St. Louis, Missouri, and has a strong commitment to combining innovative technology with operational excellence [6] Project Details - The Hermosa project will feature a remote operations center named Centro, which will employ approximately 200 full-time staff to oversee underground and surface equipment [3] - The project emphasizes environmental responsibility and aims to set a new standard for sustainability in the mining industry [4] - Caltrol, Emerson's Impact Partner, will provide expert service and maintenance support for the project [5]

Company Overview - Comstock Inc. (NYSE: LODE) focuses on innovating and commercializing technologies that support clean energy systems by efficiently extracting and converting under-utilized natural resources into reusable metals, including silver, aluminum, and gold, primarily from end-of-life photovoltaics [3] Upcoming Event - Corrado De Gasperis, Executive Chairman and CEO of Comstock Inc., will participate in the Water Tower Research Fireside Chat Series on November 18, 2025, at 11:00 a.m. Eastern Time [1] - The event will be hosted by Peter Gastreich, Managing Director at Water Tower Research, and is open for all investors to participate [2] Investor Engagement - Water Tower Research aims to modernize investor engagement through research-driven communications, providing equal access to high-quality company research for both institutional and retail investors [2]