This is a reveal of a secret that probably isn’t secret for most of you at this point, but I’ve been asked by many folks to chime in… so I’ll give it a shot.
Dan Ferris is selling his Extreme Value newsletter with a long spiel that looks like it was only sent out to other Stansberry subscribers, not a “hard push” with a hype-heavy video like we more typically see, and it’s essentially a “now is the best time for real” re-recommendation of a stock he has been touting for about 2-1/2 years.
Here’s what Ferris said in the email:
“In today’s Digest, I’m going to tell you all about an opportunity to make 20% to 50% gains in the next several weeks… and as much as 15 to 20 times your money over the next several years.
“But the truth is, I thought I’d have more time to get the message out when the time came.
“You see, the company made two important announcements earlier this week. These developments will likely soon send the company’s stock soaring much higher. And because of that, your best chance at the biggest profits could be gone in just two to three weeks.
“That’s why I’m breaking from my usual Friday Digest fare this week…
“My Extreme Value subscribers already know all about this opportunity. But I don’t want to stop there… I want to help you, our dear Digest readers, to profit as best I can, too.”
So this is an existing stock, and we know what it is (more on that in a minute), but the immediacy is that there’s a huge catalyst. That catalyst was announced early last week, so you’d think that it would have impacted the stock, but the real impact to the stock came when this email was sent to presumably 100,000+ Stansberry customers over the weekend. A catalyst combined with a heapload of new investor attention from people expecting a short-term bump can really create a self-fulfilling prophecy and jolt a stock price.
This is what Ferris wrote on Saturday, per emails that were forwarded my way:
“I’m writing about this opportunity today because I’m afraid the stock will soar out of sight in the next four to five weeks. As I’ll explain, that’s because I believe a whole new class of the world’s biggest institutional investors will soon pour tens of millions… hundreds of millions… and eventually, billions of dollars… of investor capital into the stock.”
So the news is that the stock is going through a consolidation and looking to get a US listing, and that did indeed cause a little bump in the shares, getting them briefly to a new 52-week high on Thursday… but Ferris’ email on Saturday drove enough buying that the stock got to $45 on Monday for a new seven-year high.
What’s the stock? This is, of course, the Canadian natural resources-focused asset manager Sprott, Inc. (SII.TO, SPOXD/F), which Dan Ferris first started teasing in February of 2018 and then kept trotting out every few months until he came out with a new version of the Sprott tease last fall.
The original reason for choosing Sp