Prefer to view this content on our website? Click here.
Dear Fellow Investor,
Rare earth stocks are on the move.
All after the Biden Administration banned exports of high-bandwidth memory chips (HBM) used in artificial intelligence applications.
As noted by Reuters, “The move is one of the Biden administration's last large-scale efforts to stymie China's ability to access and produce chips that can help advance artificial intelligence for military applications. The package includes curbs on China-bound shipments of high bandwidth memory chips, critical for high-end applications like AI training; new curbs on 24 additional chipmaking tools and three software tools; and new export curbs on chipmaking equipment made in countries such as Singapore and Malaysia.”
About two dozen Chinese semiconductor companies will now be added to the US list that restricts access to US technology.
As a result, China will now ban rare earth metals to the US including gallium, germanium, antimony, and super-hard materials. Citing "safeguarding national security and interests," China's ministry also "requires a stricter review of end-usage for graphite dual-use items." That potentially limits US access to a common coating material used in everything from power cables to nuclear reactors, as noted by ArsTechnica.com.
Chaikin Analytics
Is NVDA a sell? Buy this stock instead after Dec 4
After months of speculation that Nvidia was "cooling off..." and "running out of steam..."
The company is making headlines for last week's new earnings report – which revealed the AI juggernaut nearly doubled their profits in the last year alone.
Wall Street has scrambled to react, with JP Morgan, Goldman Sachs, Barclays, and Benchmark all hiking their price targets for the stock.
But after soaring over 150% in 2024 alone... is it actually time to buy Nvidia?
A 50-year Wall Street veteran gives his answer right here...
Including the name and ticker of one under-the-radar AI stock to buy instead of Nvidia... after Wednesday, December 4th.
Company: MP Materials (SYM: MP)
With that, it comes as no surprise that MP Materials (SYM: MP) is pushing higher.
Last trading at $23.43, MP could move even higher because it owns the Mountain Pass rare earth mine and processing facility here in the United States. Helping, MP recently said, “The MP team delivered record production of rare earth concentrate and NdPr oxide in the third quarter,” said James Litinsky, Founder, Chairman, and CEO of MP Materials. “Despite continued weak market pricing, increased NdPr sales volumes drove a return to year-over-year revenue growth. We are also pleased with our progress on scaling midstream production and reducing costs, providing line of sight to positive refining gross margins early next year.”
Crypto 101
Is This DeFi Coin Your Next “10-Bagger” Investment?
Our #1 pick in decentralized finance is largely overlooked by mainstream investors (for now). This governance token could skyrocket as DeFi adoption surges with the smart money and institutions.
Unlock our full analysis and investment strategy for this potential 10X gainer for only $3.
ETF: VanEck Rare Earth and Strategic Metals ETF (SYM: REMX)
We can also look at the VanEck Rare Earth and Strategic Metals ETF (SYM: REMX).
Last trading at $46.32, it could also push higher if the rare earth story worsens.
With an expense ratio of 0.56%, the ETF tracks the overall performance of companies involved in producing, refining, and recycling of rare earth and strategic metals and minerals. Top holdings include MP Materials, Lynas Rare Earths, Arcadium Lithium, Albemarle, Lithium Americas, and Sigma Lithium to name a few of its 30 holdings.
Oxford Club
Stock holds tech world hostage
And the CEO intentionally set up his company's stock under a secret trade name.
Get the details here
Do you currently own shares of any "rare earth" stocks? Which ones? Are there any others you think we should look into? Hit "reply" to this email and let us know!
No comments:
Post a Comment