Nomi Prins has released a new presentation centered around a “fatal flaw” in the electric vehicle industry that she says could stop it dead in its tracks.
And according to Prins, the solution to this “flaw” is a new battery technology she calls the “EV Master Key,” which is powered by a new type of lithium called “forever lithium.”
Source: rogueeconomics.com
What is she (really) talking about? Is it legit? And what stock is she teasing?
That’s what I wanted to know. So I looked into the presentation to piece it all together and, in the process, figured out what “EV Master Key” company she’s pitching.
The basis of Nomi Prins’ latest (October 2023) presentation is that, despite America’s push toward EVs, they remain super expensive compared to gas-powered cars.
Why are they so expensive? According to Prins, it mostly has to do with the batteries they run on. She pointed out that a battery in an average gas-powered car costs around $150, whereas an EV’s battery can cost up to $20k a pop (which seems to check out).
Furthermore, Prins claims that the minerals that go into an EV battery (lithium, nickel, and cobalt) are “skyrocketing in price” and becoming “nearly impossible” to source.
“You see, key minerals like lithium, nickel, and cobalt…
“Which you cannot make an electric vehicle without…
“They’re not only skyrocketing in price — they’re becoming nearly impossible for carmakers to find.”
Prins also pointed out that because of the difficulty in sourcing these materials, people are having to wait for a very long time to actually take delivery of their new EVs.
What’s the solution, according to Prins?
The so-called “EV Master Key,” a battery technology that she claims is powered by a new type of lithium – “forever lithium.”
This “miraculous battery innovation,” she claims, could make early investors a fortune and “release the floodgates on EV adoption in America.”
“But here’s where the EV story takes an interesting twist — and where early investors could earn a potential fortune.
“One company that’s a fraction of the size of the big automakers…
“Has emerged with an ingenious solution.
“The entire trillion-dollar EV rollout hinges on a battery technology I call: The ‘EV Master Key.’
“It’s a miraculous battery innovation… powered by a NEW type of lithium…
“That promises to release the floodgates on EV adoption in America…
“And slash new car prices — practically overnight.”
What is “forever lithium?”
It’s lithium iron phosphate (or LFP for short).
“What this company has achieved is incredible.
“They’ve developed a proprietary battery technology known as lithium iron phosphate…
“A form of lithium experts simply called ‘LFP.'”
According to Prins, LFP “virtually eliminates the 3 killer problems facing our EV industry.”
Cost: Prins claims that LFP (aka forever lithium) is “30% cheaper” than regular lithium.
Safety: She says they are “far less likely to catch fire” than other EV batteries.
Durability: She claims LFP batteries have “5 times more charge cycles” and can last “up to 5 times longer.”
I’m not an expert on lithium batteries, nor am I familiar with the details and inner workings of the LFP battery she’s referring to.
However, according to Wikipedia, the “lower cost, high safety, low toxicity, long cycle life and other factors” are seeing LFP batteries gain popularity in EVs.
So, based on that, there does appear to be merit in what Prins is saying. However, I did find an article on eepower.com that casts some doubt on this technology’s future, which you may find interesting if you want to learn more.
In any case, that’s the gist of the “solution” to the “fatal flaw” Prins is talking about.
Nomi Prins shared quite a few tangible clues about her LFP battery company pick (aka her “EV Master Key” pick) in the presentation. So it was pretty easy to solve this one.
Here are some of the initial clues she shared:
“… they started securing lucrative contracts with auto giants like Chevrolet, Toyota, and even tractor-maker John Deere.”
[…]
“They’ve penned over $1 billion in contract agreements with the U.S. Air Force, Army, Marine Corps, and Department of Defense.”
“On his recent ‘Investing in America’ tour, President Biden visited this firm’s facility to praise their $4.7 billion investment in the initiative behind the EV Master Key.”
“And they boast an incredible 10,000+ patents protecting their cutting-edge tech… As the only U.S. company ready to roll out this battery breakthrough…”
She also said that this technology is set to be “deployed right here in America,” starting with the company’s “new $3 billion battery factory.”
“Now, this stunning technology is set to be deployed right here in America.
“Starting with their new $3 billion battery factory.”
She shared at least two quotes that I saw (one from the company’s CEO and another from Yahoo Finance). And she said that Fisher Investments, BlackRock, Vanguard, and others have invested in the company. Here’s what I’m referring to:
“The amount of investor capital flooding into this company right now is stunning.
“Like from Ken Fisher, founder of the $200 billion investment fund, Fisher Investments — ranked 150 on Forbes’ list of the 400 richest Americans. He owns more than $500 million of this stock.
“The secretive $4 trillion asset manager BlackRock owns $2.8 b
“And together the trillionaire trio of Vanguard, State Street, and T. Rowe Price hold another $6 b”
“Yahoo Finance calls this stock ‘a favorite amongst the big guns.'”
Initially, what led me to Cummins being Prins’ pick were the two quotes she shared, which seem to match what is stated here and here. And after looking into her other clues, I became more convinced that this was the “EV Master Key” company she was teasing.
For instance, earlier this year, President Biden did visit the company’s facility. The investment firms she mentioned do appear to have a stake in Cummins. And according to energytech.com, Accelera by Cummins (the name of Cummins’ “New Power” business segment) entered into a joint venture to build a $2-3 billion battery factory in the U.S.
In short, the deal involves Accelera by Cummins, Daimler Trucks & Buses US Holding, and PACCAR building a 21 GWh factory which will “emphasize” LFP technology (the same “forever lithium” technology Nomi Prins was banging on about earlier).
So, Cummins looks like a match.
I can’t be 100% certain without seeing the report Nomi Prins has put together (titled, The EV Master Key: The #1 Easiest Way to Profit from “Forever Lithium”), but it looks like the one.
If you want to know for sure and get the details about why she’s bullish on this company, you’d need to read the above report, which is only possible if you join her $49 newsletter, Distortion Report.
Is Distortion Report worth it?
I joined Distortion Report a bit over a year ago (I didn’t renew), and it was a decent newsletter overall in terms of the insights she shares. However, many of her picks were in the red when I was a member (because many of them were tech stocks).
You can see my full review of the Distortion Report here if you want to know more. And you may be interested in my research on her “liquid energy” and nuclear energy stock picks:
There have been a lot of stock teasers centered around a so-called “forever battery” in recent years, and I’ve covered some of them here.
But for the most part, it has been a bunch of hype.
So, while I don’t know how Nomi Prins’ latest pick will work out, I wouldn’t recommend rushing into anything without doing your own due diligence and knowing that there are risks involved with ANY investment – no matter how good it may sound.
Anyway, I hope you enjoyed this post, and appreciate you stopping by!
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