Everybody already knows what gold/silver companies we are most bullish on.
Out of every non precious metals company that we follow, Clean Seed (TSXV: CSX) is the company we are most bullish on because it truly has the most innovative, disruptive, revolutionary technology in the booming agriculture sector... with farmers getting ready to invest big into buying the most advanced equipment that will provide them with a positive return on investment.
We also love Morien Resources (TSXV: MOX) because coal stocks are hot look at Peabody Energy (BTU) it is up big today and getting ready to hit a new 52-week high! MOX is also an infrastructure play and owns a huge royalty in a major aggregate project owned by Vulcan Materials (VMC) a $23.78 billion market cap company!
However, based strictly on fundamentals...
Essential Energy Services (TSX: ESN) is the most undervalued non precious metals company and looks extremely strong here at $0.365 per share. With 141.86 million shares outstanding it has a market cap of CAD$51.78 million when the company has a net cash position of CAD$6.2 million for an enterprise value of CAD$45.58 million. ESN has trailing twelve month free cash flow of CAD$16.68 million. ESN's enterprise value is only 2.74X free cash flow!
ESN's U.S. OTC symbol EEYUF is currently only 0.00429X the price of crude oil. Between October 2011 and February 2018, EEYUF consistently traded in a range of between 0.00792X and 0.03182X the price of crude oil. With crude oil at $69.50 per barrel, look for EEYUF to rise to a minimum of $0.55 per share and ESN to rise to a minimum of $0.665 per share for a gain of 82.19% from its current price of $0.365 per share. ESN at $0.665 per share will have an enterprise value of 5.28X free cash flow, which will be much more fair although still very undervalued!
ESN has a key breakout point of $0.38 per share!
Past performance is not an indicator of future returns. NIA is not an investment advisor and does not provide investment advice. Always do your own research and make your own investment decisions. This message is not a solicitation or recommendation to buy, sell, or hold securities. NIA has received compensation from CSX of USD$100,000 cash for a one-year marketing contract. NIA's President has purchased 50,000 shares of CSX in the open market. This message is meant for informational and educational purposes only and does not provide investment advice.