Will These "War Metal" Stock Really Gain Over 11,000%?

Keith Cole is out with a new presentation pitching three critical mineral stocks that he claims has the potential to grow over 11,000% and one of the stocks is only $1. However, he won't reveal the stock unless you buy his newsletter. But, I went through the presentation and was able to figure out all three stocks based on the clues in the presentation. In this video, I'm going to reveal each one and tell you whether or not I think they're a buy. There's lots of stocks to uncover, so we're just going to jump into things. Overall, this presentation is about tungsten, which is a critical mineral that's important for defense, aerospace semiconductors and industrial manufacturing. The idea is that America is facing a serious shortage of this metal and stocks in this presentation will help fix that shortage. Here are the clues for the first tungsten stock. The first stock is the company Cole calls the backbone of Western tungsten supply. It controls one of the largest and highest tungsten deposits outside of China. And unlike a lot of smaller mining companies, this isn't just an early exploration project. Its flagship mine is located in South Korea, a major US defense ally, and the project has already gone through the difficult permitting process. The really important part is the scale. According to the presentation, once this mine is fully operational, it could eventually produce close to half of the world's tungsten supply outside of China. And this isn't just theoretical demand. The pitch says US authorities have already contacted the company directly about tungsten availability, which tells you how strategically important this project could become. This is Almonty Industries, ticker A L M. Almonty Industries is a tungsten mining company focused on building one of the largest sources of Western controlled tungsten tungsten supply. The centerpiece of the company is the Sangdong mine in South Korea, a historically producing tungsten mine that recently returned to operation after being shut down for more than 30 years. Phase one is now in the commissioning and ramp-up stage with a processing plant designed to produce roughly 2,300 tons of tungsten concentrate per year. And the bigger opportunity comes from expansion. Almonty plans a phase two expansion that could roughly double production to around 4,600 tons annually, potentially making Sangdong responsible for a huge portion of Western tungsten supply. The company also operates the Panasqueira mine in Portugal and is developing additional tungsten assets. What makes Almonty especially interesting right now is timing. China dominates global tungsten supply. Western governments are actively looking for alternative sources and Almonty is transitioning from simply developing Sangdong to actually processing ore and producing saleable tungsten concentrate. So, this is becoming much more than a speculative mining project. It's potentially one of the most strategically important tungsten producers outside of China. Now, let's head to the scorecards and give this stock a score. For core business, we give it an 8.5 out of 10. I really like the core business here. Almonty is focused on tungsten, a strategically important metal with major uses across defense, aerospace, semiconductors, and industrial manufacturing. More importantly, this isn't just an exploration company anymore. Almonty already generates revenue from its existing operations while the much larger Sangdong mine is now being commissioned and ramped towards commercial production. Growth potential, nine out of 10. The growth potential is probably the strongest part of the story. Sangdong is still ramping up and Almonty already has a fully permitted phase two expansion that could significantly increase increase production. The company is also developing additional projects in Montana, expanding its existing operations, and giving it multiple ways to grow beyond Sangdong. If tungsten prices remain strong and these projects execute successfully, Almonty could become a much larger company over the next several years. Competitive advantage, a nine out of 10. I think Almonty has a very strong competitive position. There simply aren't many large-scale tungsten projects outside China that are this far along. Sangdong is already permitted, built, and entering production at a time when Western governments are actively trying to secure non-Chinese tungsten supply. Almonty also recently expanded its long-term off-take agreement, increasing contracted volumes by 40% and improving its pricing terms. That's a meaningful strategic advantage. Financial strength, eight out of 10. Almonty's financial position has improved dramatically. The company finished the second quarter with roughly 1.2 billion dollars in cash, and Q2 revenue jumped to about 43 million, compared to just 7.2 million a year earlier. Adjusted EBITDA also turned strongly positive. The downside is that much of the cash came from an 800 million convertible note offering, so investors still need to consider debt and potential future dilution. Still, Almonty now has substantial capital available to fund its expansion. Valuation, we give a 5.5 out of 10. Valuation is where I become more cautious. Almonty is currently valued at roughly 5.1 billion, even though Sangdong is still in the ramp-up stage, and the company's current revenue base remains relatively small. The market is clearly pricing in a lot of future growth already. That doesn't mean the stock can't continue higher, especially if tungsten prices remain elevated, but investors are no longer getting the story at an early stage valuation. Execution now has to justify the premium. Overall, I give this an eight out of 10. I like Almonty Industries. I really like the strategic position, the tungsten supply story, and the enormous potential of Sangdong. This is also much more developed than the typical critical mineral stock because Almonty already has operating assets, revenue, customers, and substantial financing behind it. My biggest concern is simply the valuation. The stock has already attracted a lot of attention, so I wouldn't chase it aggressively at any price. But if Song Dong ramps successfully and tungsten remains in short supply, Amani could become one of the most important Western tungsten companies in the world. So, I'd give this an eight out of 10 and recommend buying on pullbacks. I'm going to reveal the rest of the stocks in 15 seconds, but before I do, I want to tell you about my free report on the top 10 stocks to buy and hold right now. These are companies I believe have the best mix of strong long-term potential and growth. When you're done watching, click the link in the description, enter your email, and I'll send it straight to your inbox. Here are the clues for the second stock, which Cole says is the much more speculative US tungsten play. Unlike stock number one, this is a company with a market cap of just over 100 million. But what makes it interesting is that it controls a past producing tungsten mine in the United States. So, this isn't a brand new discovery where management still has to prove the metal is there. The company is trying to restart the mine and begin production before the end of 2026. If it succeeds, the pitch says it could become the first domestic US tungsten producer in more than a decade at a time when America currently has essentially no domestic supply. And investors are already starting to pay attention. The company recently raised about 40 million, and the financing was oversubscribed, meaning demand from investors was stronger than expected. This is American Tungsten Corp, and the ticker can be bought over the counter with the ticker T U N G. American Tungsten Corp is a small critical minerals company focused on bringing domestic tungsten production back to the United States. Its flagship asset is the IMA mine in Idaho, a past producing tungsten and molybdenum mine with existing underground infrastructure, road access, power, and historical production data. The company's goal is to rehabilitate the mine and move toward production around late 2026 into early 2027, which could make it one of the first meaningful new US tungsten producers in years. American Tungsten has also been drilling the property, testing processing methods, and advancing infrastructure studies as it works towards the restart. What makes the story interesting is the timing. The US currently has very limited domestic tungsten supply, while defense and industrial demand remains strategically important. So, this is essentially a high-risk bet on successfully restarting a proven US tungsten mine. Let's head to the scorecard now. Core business, 7.5 out of 10. I like the basic business story here, but it's still very early. American Tungsten is trying to restart the past producing IMA tungsten mine in Idaho, which gives it an advantage over a company starting completely from scratch. But, unlike Almonty, this company still isn't generating meaningful commercial revenue. Everything depends on successfully rehabilitating the mine and getting it back into production. Growth, we give it a nine out of 10. The growth potential potential is easily the most exciting part of the story. The company is targeting a restart of the IMA mine with production and ramp-up planned around 2026 into early 2027. If American Tungsten actually becomes one of the first meaningful domestic tungsten producers in the US, the company could look dramatically different from where it stands today. For a company this small, successful execution could create enormous upside. Competitive advantage, 8.5 out of 10. I think the company has a potentially strong strategic advantage. The IMA mine has produced tungsten before. Existing underground infrastructure is already being evaluated for rehabilitation, and there simply aren't many advanced US tungsten projects available. American Tungsten is also pursuing pursuing relationships with agencies including the Department of Defense and the Department of Energy, which could become extremely important if Washington continues pushing for domestical critical mineral supply. The problem is that this advantage only matters if management successfully restarts the mine. Financial strength will give us seven out of 10. Financial strength is better than I expected for a company this small. As of June 2026, American Tungsten has roughly 42.6 million in cash and investments with essentially no debt. That's important because mine development requires substantial capital. But the company is also burning money. Free cash flow over the trailing 12 months was roughly negative 18.9 million. And the share count has increased substantially as the company has raised capital. So the balance sheet looks decent today, but additional dilution remains a real risk. Valuation is a 6.5 out of 10. Valuation is difficult because there really isn't an established operating business to value yet. American Tungsten currently has a market capitalization of roughly 110 to 115 million with an enterprise value around 72 million. That isn't enormous if the IMA mine eventually becomes an important domestic Tungsten producer, but investors still are paying more than 100 million for a company with no meaningful revenue and a mine restart that hasn't been proven yet. So the valuation could look very cheap if production succeeds or very expensive if it doesn't. Overall, I give this a seven out of 10. I like the setup. You have a past producing US Tungsten mine, a strategically important commodity, a tiny market capitalization, and potentially enormous upside if management actually gets the mine producing again. But this is still far more speculative than Almonty. There is no established commercial operation yet. Cash is being burned, dilution has already been significant, and almost the entire investment thesis depends on management executing the mine restart. So I wouldn't treat this like a normal long-term mining investment. I treat it as a highly speculative opportunity where the upside could be substantial, but so could the downside. Now, here are the clues for the third and final stock. This stock is completely different from the first two. The company doesn't mine tungsten at all. Instead, it buys tungsten and turns it into high-performance products like cutting tools, industrial components, and specialty materials used across aerospace defense energy and manufacturing. And unlike the first two companies, this is already a large, established, operating business. The presentation says it recently generated more than 500 million in quarterly revenue with tightening tungsten supply and higher prices already showing up in its results. The company is also described as the largest North American producer of finished tungsten tools and components. That gives it something the other miners don't have yet. Existing customers, existing revenue, and pricing power today. This is Kennametal, ticker KMT. Kennametal is a global industrial technology company that specializes in metal cutting tools, tungsten carbide products, and wear-resistant materials. Instead of tungsten, Kennametal sits further down the supply chain, turning the metal into high-value products used across aerospace, defense, energy, transportation, mining, and general manufacturing. The company has been working with tungsten carbide for more than 80 years and operates across nearly 100 countries, giving a much more established business than the first two stocks. And the tungsten shortage is already showing up in the numbers. In its latest quarter, Kennametal generated about 737 million in revenue, up 43% year-over-year. Well, management said unusually high tungsten prices and related pricing actions played a major role in the results. For fiscal 2026, total revenue reached roughly 2.36 billion. So, unlike miners, Kennametal doesn't need a new project to succeed. It already has factories, customers, products, and revenue. And it's benefited benefiting from the tungsten squeeze right now. Let's head to the scorecard now. The core business, I give a 9 out of 10. Kennametal is an established industrial company selling metal cutting tools. And unlike the first two stocks, this isn't dependent on a future mine operating. It already has factories, customers, revenue, and decades of operating history. Growth potential, we give an 8 out of 10. The growth potential is strong. Although it's obviously not as explosive as a tiny mining company. Fiscal 2026 revenue increased 20% to roughly 2.36 billion. And management expects fiscal sales of around 3.33 billion to 3.45 billion. The company is benefiting from improving end markets, higher tungsten pricing, and growth in areas like aerospace, defense, and energy. There's meaningful upside here, just without the moonshot potential of the smaller miners. Competitive advantage, 8.5 out of 10. Kennametal has a strong competitive position. The company has more than 85 years of operating history, serves customers in nearly 100 custom countries, and has deep expertise in tungsten carbide and advanced industrial materials. When tungsten becomes difficult or expensive to source, Kennametal's scale manufacturing capabilities and established customer relationships become increasingly valuable. That's a real advantage small competitors simply can't replicate overnight. Financial strength, 7.5 out of 10. Financially, Kennametal is profitable and much stronger than the mining stocks. Fiscal 2026 produced roughly 342 million in net income, while adjusted EPS reaching $4.50. But there is one thing I don't love. Free operating cash flow was negative 79 million for the year. Largely because soaring tungsten prices forced Kennametal to spend heavily on inventory and securing raw material material supply. The company also finished the year with 685 million of long-term debt. So, the business is financially solid, but the balance sheet isn't perfect. Valuation, 8.5 out of 10. This is probably one of the most attractive parts of the stock right now. At roughly $29 per share, Kennametal has a market capitalization around 2.2 billion and trades at only about six to seven times earnings. That's unusually expensive for an established profitable industrial company experiencing strong revenue growth. The catch is that fiscal 2026 earnings benefited substantially from unusually favorable tungsten prices, so I wouldn't assume those extraordinary margins continue forever. Even accounting for that though, the valuation still looks pretty reasonable. Overall, I give this an 8.5 out of 10. It doesn't have the explosive upside potential of a tiny tungsten miner, but it also carries nowhere near the same execution risk. You have an established global business, real revenue, real profits, strong exposure to aerospace and defense, and a company already benefiting from the tungsten shortage. I also like the valuation considerably more than Almonty's right now. My biggest concern is that some of the recent profit surge came from an unusually favorable tungsten pricing environment, so investors shouldn't assume those margins are permanent. But, of the three stocks, Kennametal probably offers the best combination of quality, valuation, and lower risk. And before you go, don't forget to grab my free report on the top 10 stocks to buy and hold right now. These are companies I believe offer the best combination of long-term growth potential and strong underlying businesses. Just click the link in the description, enter your email, and I'll send the full report straight to your inbox.