Enrique Abeyta is out with a new stock teaser pitch for his Empire Stock Investor newsletter that centers around a so-called “perfect battery” for electric vehicles.
“The traditional battery found in most EVs cannot hold a candle to what I call ‘the perfect battery.’
“‘The perfect battery’ is safer… 61% cheaper… and nearly five times longer lasting… than the lithium-ion batteries you will find in most electric cars today.
“It promises to be a game-changer…
“The critical development that suddenly fast-tracks mass EV adoption.
“In fact, I predict that one day you will look down the street…
“And every car you see will be outfitted with one of these batteries.”Source: https://secure.empirefinancialresearch.com/?cid=MKT636917&eid=MKT640911&assetId=AST256469&page=2
But surprisingly, he’s not actually teasing an EV battery stock.
Instead, he’s teasing a company that manufactures EVs, and that is USING these batteries in their cars, which he says could see it outsell Tesla within a couple of years.
“According to a senior auto analyst for Bank of America…
“This automaker will sell more EVs than Tesla…
“Not in twenty years…
“Not in ten years…
“Not even in five years…
“But in TWO YEARS.
“Now, here is the best part…
“If you act today, you can buy its stock for just $12.”
As you may already know, Enrique didn’t reveal his pick in the presentation (because he wants you to join Empire Stock Investor for $49).
But I think I know what he’s teasing.
So let’s take a look!
Enrique Abeyta’s “#1 EV stock of the 2020s” (aka “Perfect Battery” Stock)
Based on the clues he shared in the presentation, Enrique Abeyta’s “1 EV stock of the 2020s” is most likely Ford Motor Co (ticker: F).
This was a really easy one to solve because it’s the same company he teased last year, which I discuss in this post. So, this is basically a new marketing angle on an old teaser.
- Ford is trading for around $12 a share, which matches Enrique’s clues.
- The Bank of America quote Enrique shared about how his pick will surpass Tesla’s sales by 2025 lines up with what was stated in Bank of America’s annual Car Wars Report about Ford and GM.
- Ford is working on a new type of EV battery that is less expensive and seems to line up with what Enrique talked about in the teaser.
So, it looks like his pick is Ford.
I wish had something more “exciting” to reveal here, but sometimes these “gurus” tease super well-established companies that we’ve all heard about already.
That said, I was curious about the whole “perfect battery” thing.
So I looked into that…
What “Perfect Battery” Is Enrique Teasing?
The gist of the “perfect battery” Enrique Abeyta was hyping up in the presentation is that it is supposedly cheaper, safer, longer lasting, and can charge faster.
Basically, he claims that it’s superior to regular lithium-ion batteries that most EVs run on (including Teslas). He also says that, unlike “regular” EV batteries, the “perfect battery” doesn’t contain any nickel nor cobalt.
“You see, the reason EVs are relatively expensive is because of their lithium-ion batteries.
“These batteries make up about half the cost of electric cars.
“That is because they are made with nickel and cobalt.
“And – with EV sales rising – both of these materials have recently soared to multi-year highs.
“And they are only getting more expensive. Nickel and cobalt are expected to at least double in price by 2030.
“However… ‘the perfect battery’ contains neither nickel nor cobalt.
“Its cathode is made of iron and phosphorus, two materials that are far more affordable than nickel and cobalt.
“In fact, ‘perfect batteries’ are 61% cheaper than nickel-cobalt batteries.”
I must admit… after seeing my share of “forever battery” presentations over the past couple of years (for example, the ones I wrote about here and here, which were all about the promise of solid-state lithium-ion batteries), I was skeptical of Enrique’s pitch.
But it seems Ford is focused on something different from what I’ve seen hyped up in different teasers. Instead of solid-state batteries, Ford is reportedly working on developing EV batteries made with a lithium iron phosphate chemistry.
How do they work?
I’m not a battery expert, so I would (highly) recommend doing your own due diligence here and coming to that conclusion yourself.
But the gist is that Ford has built a $3.5 billion factory in Michigan to produce these “LFP batteries,” which are apparently cheaper, faster charging, and longer lasting.
What’s the catch?
According to autoweek.com, these batteries are not as energy-dense as more traditional lithium-ion batteries (meaning, they take up more room in the car).
And production isn’t meant to start until 2026, so we’re a ways off yet.
Still, Ford is one of the most respected automakers in the world, and they are working on producing more affordable EVs, which has to be a good thing, right?
In any case, that’s the gist of the presentation (minus all the hype and sales talk).
Enrique Abeyta is teasing Ford, and a large part of his thesis centers around the company’s new lithium iron phosphate (aka LFP) batteries, which could make EVs more affordable.
He also teased some other companies but didn’t share any tangible clues about those, as again, his goal is getting folks to join his Empire Stock Investor service.
Recommended: Go here to see my #1 rated stock advisory of 2024
Should You Join Empire Stock Investor?
I have joined and reviewed Empire Stock Investor, so if you want my complete take on that service, I would recommend seeing the review I just linked to.
But in short, Empire Stock Investor is a stock advisory newsletter run by Whitney Tilson (founder of Empire Financial Research) and Enrique Abeyta.
And it’s basically focused on value investing. As in, companies that Tilson and Abeyta think are undervalued and could see growth in the years ahead.
All in all, it’s a pretty standard newsletter. Tilson sends out monthly newsletters, and you get a model portfolio that shows you how their stock picks are performing.
How has it performed?
The current “open” positions contain quite a few losing picks right now (April 2023), which is similar to many other newsletters I’ve joined recently. And one of the main reasons for that is the newsletter’s leaning toward tech-focused investments.
That said, there are quite a few winning picks as well. And there is a wide range of stocks in the portfolio outside of tech (agriculture, oil and gas, homebuilder, and e-commerce).
And the insights are pretty decent, I think.
Just keep in mind that $49 is only the price for the first year. After that, it auto-renews at $199 per year (and there are numerous expensive upsells).
Enrique Abeyta’s “perfect battery” recommendation appears to be Ford, which he also describes as “the #1 EV Stock of the 2020s.”
I don’t make stock predictions, so I’ll let you decide if you think Ford is a good investment or not, but this appears to be the company he’s pitching. And the battery tech he appears to be referring to is the company’s LFP batteries.
If you want to know more about the service he’s pitching, check out my Empire Stock Investor review, and if you want to see what other companies he’s teased, I recently wrote about Enrique Abeyta’s “#1 AI stock” for 2023.
Anyways, that’s it from me.
Hope you enjoyed the post and thanks for reading!