Rick Rule’s Premier Natural Resource Stocks for May 2024

Exploring Investment Opportunities in Natural Resource Stocks with Rick Rule's Expert Picks

Editorial Team (ET)May 2, 2025

Despite some economic headwinds, concerns about global geopolitics, and domestic political turmoil in the U.S., both debt and equity markets continue to be very strong in North American markets. The market's confidence and liquidity are notable, driving resilience amidst challenges.

Resource markets remain robust, with strength in precious metals markets finally being reflected in precious metals equities. Energy markets and industrial materials are also strong, generating more modest responses in their respective equities markets. This strength showcases the market's confidence in these sectors despite broader economic concerns.

The financing window in junior equity markets is wide open. Quality juniors are launching oversubscribed financings at minimal discounts, often without warrants, and sometimes with strategic industry investors. This indicates a strong investor interest and confidence in the potential of these junior markets.

There are still pockets of deep value in junior markets. Potential tier 1 deposits in out-of-favor materials are notably cheap, offering significant investment opportunities. Additionally, energy equities, particularly Canadian energy equities, appear undervalued, presenting another area for potential gains.

TOP PICKS

Dundee Corp (DC.A TSX)

Dundee Corp is a complex, misunderstood, deep value stock. It effectively serves as a value-added resource equities manager, selling at a greater than 50% discount to its net asset value (NAV).

Imagine buying a junior resource equities fund at a 50% discount. This scenario makes Dundee Corp an incredibly attractive investment. The company's complexity may deter some investors, but those who understand its potential can see significant value.

Rick Rule's confidence in Dundee Corp is further reinforced by his past experience with its predecessor, Dundee Bancorp. He watched it soar from C$.70 to C$42 as the junior market switched from bear to bull. This historical performance suggests a similar potential for Dundee Corp.

I-80 Gold (IAUX NYSEAMERICAN)

I-80 Gold is an explorer and developer headed by the serially successful Ewan Downey. The company's potential is underscored by its leadership's proven track record.

I-80 Gold was significantly oversold due to Equinox Gold liquidating a large position to fund their own work. This overhang has now been removed, presenting a more accurate market valuation and a prime opportunity for investors.

With the overhang gone, I-80 Gold is well-positioned for growth. The company's solid fundamentals and strategic leadership make it an attractive pick in the current market environment.

Bravo Mining (BRVO CVE)

Bravo Mining is a high-risk, high-reward play focused on nickel and PGM in Brazil. The company's market position has been hampered by metallurgical concerns, but recent developments have shifted the narrative.

Bravo Mining's core play involves nickel and platinum group metals (PGM) in Brazil. While metallurgical issues have been a concern, the potential of these resources remains significant.

Recently, Bravo Mining announced a very high-grade copper discovery on the same property, with the "hallmarks" of an IOCG (iron oxide copper gold) system. This discovery adds a new dimension to Bravo Mining's potential, making it an intriguing, albeit risky, investment opportunity.

Conclusion

Rick Rule's top picks for May 31, 2024, highlight the strength and potential within natural resource stocks. Despite broader economic challenges, the resource market's resilience and the undervalued opportunities in junior markets offer significant investment potential. Dundee Corp, I-80 Gold, and Bravo Mining each present unique opportunities for investors looking to capitalize on deep value and growth potential in the resource sector.

Bloomberg

Disclaimer

This report should not be viewed as investment advice or as an offer to buy or sell any securities or as an invitation or solicitation of an offer to buy or sell any securities. Neither the author of this report, its publisher, nor any other person associated with the publication of this report, are registered brokers, investment dealers, investment advisers, or financial advisers. The information in this report has not been tailored to the particular needs or circumstances of readers and should not be relied upon as investment advice or recommendations to purchase or sell any of the securities presented in this report. Readers seeking investment advice should contact qualified and registered brokers, investment dealers, investment advisers, or financial advisers prior to making any decision to buy or sell any of the securities referred to in this report. The information in this report should not be construed as investment, legal, or tax advice. No recommendation is made as to whether an investment in the presented securities is suitable for any reader in light of the reader’s particular circumstances.

Readers are cautioned that the publisher of this report covers exclusively securities that carry a high degree of volatility. Investing in such securities is highly speculative and carries a high degree of risk. Investors in such securities could lose all or a substantial portion of their investment. Only those investors who can afford to lose all or a substantial portion of their investment should consider investing in the securities referred to in this report.

This report may include information obtained from publicly available sources, including third-party reports or analysis. Neither the author nor publisher of this report, nor www.juniorstocks.com or its owners, have undertaken any independent investigation into the factual information used in this report, and the information in this report is provided without any warranty of any kind. No representations or warranties are provided regarding the accuracy or completeness of the information provided in this report. Statements of opinion or belief are those of the authors and/or publisher of this report. These statements of opinion or belief are expressions of the author’s and/or publisher’s judgment, and there is no guarantee that those judgments will turn out to be correct. No inference should be drawn that the author and/or publisher have any special or greater knowledge about the presented companies or their securities, or any particular expertise in the industries or markets in which the company operates. Readers should conduct their own due diligence and seek professional advice prior to investing in any securities presented on Juniorstocks.com.

Certain statements in this report constitute “forward-looking” statements. Forward-looking statements often, but not always, are identified by the use of words such as “seek,” “anticipate,” “believe,” “plan,” “estimate,” “expect,” “targeting,” and “intend” and statements that an event or result “may,” “will,” “should,” “could,” or “might” occur or be achieved and other similar expressions. Forward-looking statements express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions, or future events or performance; they are not statements of historical facts and should not be viewed as any guarantee of any future result. Forward-looking statements are based on expectations, estimates, and projections at the time the statements are made that involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated. The author and/or publisher of this report disclaims any obligation to update the forward-looking statements in this report, whether as a result of new information, future events, or results or otherwise. There is no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.

The information provided in this report is not intended for distribution to, or use by, any person or entity in any jurisdiction or country where such distribution or use would be contrary to applicable law or regulation, or would subject the author or publisher of this report to any registration requirement in such jurisdiction or country.

Information about the editor of this publication:
Juniorstocks.com is a service provided by Piccadilly Capital Group, Office 66, 101 Clapham High Street, London, SW4 7TB, UK. Piccadilly Capital Group is not the publisher of this report and was not paid for the publication of this report. Piccadilly Capital Group seeks to generate web traffic and a growing number of followers through the publication of articles or reports. Directors, officers, and other insiders of the publisher own an interest in Piccadilly Capital Group. Piccadilly Capital Group does not endorse or recommend the business, products, services, or securities of any company mentioned on www.juniorstocks.com. Piccadilly Capital Group will not share your information with any outside third parties. Due to the new data protection basic regulation, we ask you to read our data protection declaration carefully.

Note on copyright:
The contents published on this website and on connected media (e.g., e-mail, X, Facebook) are subject to applicable copyright and ancillary copyright laws. Any use not permitted by applicable copyright and ancillary copyright laws requires the prior written consent of the provider or the respective rights holder. In particular, this applies to the duplication, editing, translation, storage, processing, or reproduction of content in databases or other electronic media and systems. Contents and rights of third parties are marked as such. Unauthorized reproduction or transmission of individual contents or complete pages is not permitted and is punishable by law. Only the production of copies and downloads for personal, private, and non-commercial use is permitted. Links to the provider's website are always welcome and do not require the consent of the provider of the website. Photos and images on the website may not be shared unless the publisher itself has acquired the initial rights from authorized sources. The presentation of this website in external frames is only allowed with written permission. If you notice any violations, please inform us. Please note: The content of our articles, emails, or other publications or social networks such as X, LinkedIn or Facebook is exclusively intended for the designated addressee(s). If you are not the addressee of these articles, emails, or other publications in the market letter or social networks such as Twitter or Facebook or his or her legal representative, please note that any form of publication, reproduction, or distribution of the content of these articles, emails, or other publications in the market letter or social networks such as X, LinkedIn or Facebook is prohibited. Falsifications of the original content of this message during data transmission cannot be excluded in principle.