The One Stock to Buy After Infrastructure Bill Gets the Green Light

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It finally happened.

President Joe Biden talking to a crowd in Philadelphia in May 2019.

Source: Matt Smith Photographer/Shutterstock.com

After months of arguing and agonizing, the bipartisan infrastructure bill passed Monday, Nov. 8, worth $1.2 trillion.

According to the Reuters article published in its wake:

“President Joe Biden and top officials in his Cabinet are hitting the road to promote the $1 trillion infrastructure bill passed in Congress last week… White House aides are planning a bipartisan signing ceremony for the infrastructure bill as soon as this week, after it gained final passage on Friday night when Democrats who control the House of Representatives ended months of bickering and approved it.”

We’ve talked several times about the significance of this bill in Smart Money — and not just what it means for the country.

Infrastructure saves time… and time is money. That’s why infrastructure advancements always produce wealth-creating opportunities.

Frustrated with tiny dividends? Watch this now.

Certain niche companies are now at the precipice of what could be their stocks’ next high-flying move — and today, I have one of my favorites in this space to share with you.

But before we get into that, here’s why this bill is so critical…

It All Connects

President Abraham Lincoln signed the Pacific Railway Act of 1862, which authorized construction of a rail line westward from Omaha to the Pacific Coast.

This law lavished bountiful subsidies on the winning bidders, granting one square mile of public domain land on alternating sides of the railway along the entire route. The act also provided tens of millions of dollars of upfront financing.

The laying of 2,000 miles of railroad track took nearly seven years. But once complete in 1869, the new railroad reduced transcontinental travel time from several months to just one week.

The railroads and other ambitious transcontinental infrastructure achievements like it — such as the national telephone and highway systems — did not simply enable individuals and businesses to conduct the same tasks more quickly. They enabled them to devise entirely new businesses and ways of life.

The railroads, for example, enabled businesses like the Campbell Soup (NYSE:CPB) to establish nationwide franchises. The soup company was able to transport produce by rail from the Midwest to canning facilities in Trenton, N.J. From there, the company rolled out boxcars full of tomato and cream of celery soup across the country.

Each major infrastructure enhancement transformed commerce, opening the door to completely new modes of commerce. At every step of the way, forward-looking entrepreneurs and investors made millions.

As well as our nation’s infrastructure has served us over the decades, it now needs a multitrillion-dollar upgrade… an upgrade that is critical to our national security.

Crumbling roads, bridges, and dams are a threat to both American lives and economic security.

If we can’t safely and efficiently transport food, fuel, goods, and people, then we are by definition a weak and vulnerable nation.

If you think of our roads and bridges as the U.S. economy’s circulatory system, it’s like we have the blood vessels of a grossly overweight 85-year-old smoker.

Our crumbling infrastructure is not only dangerous, but it is a huge economic drag, a heavy weight around the neck of American commerce. It is the foundation of economic mediocrity … not the foundation of prosperity.

Will this potential law lead to $56 trillion in new wealth?

If we Americans want to continue to achieve great success in the future, we must fix this situation.

The American Society of Civil Engineers estimates that the United States needs to invest more than $4.5 trillion by 2025 to bring its infrastructure to an adequate B- grade.

That’s a fortune.

And now, with the $1.2 trillion bill passed, this will inevitably be a segue into re-creating jobs that were lost during the Covid-19 panic.

These enormous spending programs would allow us to massively upgrade our weak infrastructure… and provide us with the robust “circulatory system” we need to maintain our economic competitiveness.

Any time trillions of dollars flow into a sector, there are huge profit opportunities for entrepreneurs and their investors.

Here’s one example:

Roads and bridges, public transportation, and more will all benefit from the infrastructure bill.

And one thing many of these items depend on is copper. I’ve long been bullish on copper; in fact, back in July, subscribers to my trading service, The Speculator, were able to close the final portion of our trade on copper mining giant Freeport-McMoRan (NYSE:FCX) for a return of greater than 1,400%.

The total gain on our Freeport trade, inclusive of all earlier sells at lower prices, was 1,017%! So, we locked in a true 10X winner with that sale.

Now, for over a year, Freeport has climbed thanks to surging demand for copper — and that’s in spite of the pullback in the price of both copper and Freeport this spring.

Those twin sell-offs appear to have been “normal” corrections in an ongoing bull market. The underlying fundamentals for copper remain extremely bullish for the metal’s price.

A Radical New Way to Make $1,375 or More Upfront

Copper is the must-have metal when it comes to electrical wiring. It’s also a major component of plumbing. If you’re building something, copper probably plays a role.

In fact, about 43% of all mined copper is used in building construction. Another 20% or so goes to transportation equipment — and that figure will only climb as our world increasingly turns to electric vehicles.

Copper.​com reports that electric vehicle sales growth will increase demand for copper by 1,700 kilotons by 2027.

You can get a sense for the enormity of that demand in the Bloomberg New Energy Finance chart below.

A chart showing the demand for various metals from 2016 to 2030 projections.

Source: Bloomberg New Energy Finance

Keep in mind that copper is also a huge part of another one of the president’s initiatives — green energy.

From Axios:

“The world’s transition to renewable energy and electric vehicles will require unprecedented amounts of copper from potentially new mining operations…

“The global need for copper could increase by an estimated 350% by 2050, with current reserves depleting sometime between 2035 and 2045, as wind and solar energy generate an increasing percentage of electricity and more people adopt electric vehicles.”

Of course, Freeport isn’t the only company that will benefit from this large-scale investment in U.S. infrastructure.

I’ll reveal another one of my favorite plays in this space soon, but for now, you can click here to check out how to become a member of The Speculator here and see which plays we’re going after next.

Regards,

Eric Fry

P.S. I recently uncovered a handful of 5G companies I think will soar higher over the next decade. These are my absolute favorite plays, and I’m giving away the name and ticker symbol of one of them for free. But only to those who tune in to my brand-new presentation on the projected $56 trillion 5G boom. You can view the interview by clicking here now.

On the date of publication, Eric Fry did not have (either directly or indirectly) any positions in the securities mentioned in this article.

Eric Fry is an award-winning stock picker with numerous “10-bagger” calls — in good markets AND bad. How? By finding potent global megatrends… before they take off. In fact, Eric has recommended 41 different 1,000%+ stock market winners in his career. Plus, he beat 650 of the world’s most famous investors (including Bill Ackman and David Einhorn) in a contest. And today he’s revealing his next potential 1,000% winner for free, right here.


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