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| By Jim Nelson |
Nilus Mattive recently put the United States’ inflation problem under a microscope.
He wrote about his recent trip to Portugal and the “metric ton of seafood” he was able to get for cheap.
He also shares a second deep discount for smart investors willing to take a metaphorical trip across the pond:
“The S&P 500 is roughly 40% weighted to tech stocks at the moment.
“The Europe Stoxx 600 has about a 10% weighting by comparison.
“But we can find similar discounts even if we start examining things sector by sector.
“For example, if we look at some of the more conservative areas — the types of companies that also tend to pay good dividends — we find discounts of 20% or 30%.
“U.S. financials are trading at 15.6 times forward earnings. European firms go for 11.2 times.
“Consumer staples, mostly food and beverage companies, will cost you 22 times earnings in the U.S. versus 16.5 in Europe.
“And utilities, the original ‘orphan and widow’ stocks?
“You might pay 17.1 times earnings in the States against 13.8 in Europe.
“To be clear, these discount gaps have actually narrowed over the last year or two.”
He’s not wrong about European stocks gaining ground on U.S. equities.
Part of the reason for that is this:
Since inflation started spiking in 2022, the U.S. dollar has lost a lot of value against the euro.
At one point in 2022, it only took 96 cents USD to buy a euro. Today, that’s $1.16.
Nilus has solutions — and opportunities — for this loss of U.S. dollar value.
First, he says you can follow along with his Safe Money Report readers, who are already up 40% on the Franklin International Core Dividend Tilt Index ETF (DIVI) … with more room to go.
Or you can look at two others — the Vanguard FTSE Europe ETF (VGK) and the iShares MSCI Eurozone ETF (EZU).
If European investing isn’t exciting enough, your other editors have one more MAJOR profit opportunity this week: quantum computing.
Chris Graebe, of course, is our startup specialist with an amazing track record of giving his Deal Hunter Alliance readers a chance at pre-IPO profits:
- Starfighters Space (FJET) went from $3.59 in its private Alpha Round to $31.50 on its third day of public trading.
- Eagle Nuclear Energy (NUCL), which his readers backed in early 2025 and watched go public shortly after, grew by 4x from a buy-in of $3.60 to its peak.
- And Conexeu Sciences (CNXU) traded as high as $16 from his readers’ pre-public Alpha Round entry point of $2 a share.
His next potential winner is in this new quantum world.
He gave you the basis for why this is more than just a company working on a tech that could be bigger than AI.
He tells you why it could be the protection you need before your private data reaches its expiration date.
He also gives you the five steps to be aware of during any potential IPO, quantum or otherwise.
Speaking of steps, Bob Czeschin gives you the five different steps you need to take ahead of AI and quantum-powered attacks, which are coming.
Finally, we shared a sneak peek this week of Chris’ summit explaining the whole opportunity. Here’s the full event.
Have a great weekend!
Jim Nelson
Managing Editor, Weiss Ratings Daily
