Beyond Tesla: Best Lithium Stock To Buy Right Now

Conclusion:

Pure Energy Minerals (TSX-V:PE) (FRANKFURT:A111EG) (OTCQB:HMGLF) is a real company, with competent management and a disciplined execution plan, producing tangible results. The Company has delivered on important milestones, namely the Inferred Resource Estimate in July and the conditional supply agreement with Tesla Motors Inc (NASDAQ:TSLA) in September. Tesla’s terms are not as relevant as the vote of confidence provided on Pure Energy. The Company is focused on near-term catalysts. These include an expanded drilling program designed to update the conservative assumptions used to calculate the Inferred resource estimate and a Preliminary Economic Assessment. Therefore, the valuation discounts seem excessive.

With the recent elevated attention, (GoogleFinance: average 30-day trading volume on PE.V + HMGLF is 1.25 million shares) the Company could be an attractive takeout target. Any number of companies, ranging from current producers, new entrants and others could have interest in bidding for this undervalued company. I ask readers and investors alike, which company’s stock has the best chance of doubling? I believe that fundamental (risk), to the downside in Pure Energy’s valuation is fairly limited given Tesla’s perceived stamp of approval. A high-risk, contrarian view, requires strong upside potential. A double in Pure Energy Minerals’ stock is not a stretch, it’s very possible.

Disclosure: Several of the companies mentioned herein have small market caps, including Pure Energy and Dajin Resources, small market cap stocks are highly speculative, not suitable for all investors. I, Peter Epstein, own shares of PE.V. and DJIFF. Mr. Epstein, CFA, MBA is not a licensed financial advisor. Readers should take that fact into careful consideration before buying or selling any stock mentioned.

Readers are encouraged to consult with their own investment advisors before buying or selling any stock, especially speculative ones. At the time that this article was posted, Pure Energy Minerals and Dajin Resources were sponsors of: http://EpsteinResearch.com. Please consider visiting:  http://EpsteinResearch.com for free updates on Pure Energy, Dajin and others across a range of sectors. While at http://EpsteinResearch.com, please enter an email for instant delivery of my work. Thank you for your support.