Erik Wetterling – Value Investing Becomes A Naturally Contrarian Strategy In Poor Sentiment Markets
Erik Wetterling, Founder and Editor of The Hedgeless Horseman website, joins us to expand upon being a value investor in poor sentiment markets, and also shares a couple companies he thinks represent a good risk/reward value proposition at current levels. He makes the point that sentiment always swings to extremes, and that often times value investing and buying cheap puts one into a naturally contrarian strategy, “going on offense while everyone else is playing defense.”
As a result, Erik believes that most of the sector is “absolutely braindead cheap” and where the risks are skewed more to the upside with the proper kind of time horizon. Some of stocks mentioned that Erik thinks represent good value here, due to their exploration upside, are i-80 Gold Corp (IAU), Novo Resources (NVO), and Tectonic Metals (TECT).