More Reasons to Pay Attention to Micron’s Earnings and Guidance
We are counting down to quarterly results after today’s market close from Micron ($MU), a stock we own through the Portfolio’s EPS All-Stars strategy. To say that the market will be using the results, guidance, and corresponding end-market commentary as a gut check on AI and data-center demand is something of an understatement. Our focus will be on Micron’s comments with an eye toward not only our AI chip positions, but also others in the Portfolio tied to building out the corresponding digital infrastructure.
But there is another reason for us to pay close attention to Micron’s results, and it has to do with our position in Bank of America ($BAC).
You see, Micron’s quarterly results and guidance will help set expectations for Samsung ($SSNLF), which will report in the coming weeks, and will also set the tone for the U.S. IPO from memory company SK Hynix.
SK Hynix, which includes Nvidia ($NVDA) among its customer base, targets raising up to $29.4 billion, with the proceeds used to build chip factories in South Korea and purchase chipmaking equipment. And yes, SK Hynix is a customer of Applied Materials ($AMAT) and the two have a technology development agreement.
So how is Bank of America connected to this?
Bank of America’s BofA Securities is one of the lead underwriters and book runners for the SK Hynix offering alongside Citigroup ($C), Goldman ($GS), and JPMorgan ($JPM).
Checking in on the Lime IPO
Several weeks back, we discussed the S-1 filing for Lime ($LIME), a micromobility and shared transportation company. One of the reasons is that it is another IPO transaction coming to market, but the greater one is that SuRo Capital’s ($SSSS) investment portfolio has a position in Lime. This means that once the IPO has been completed and certain lock-up provisions expire, SuRo will be able to monetize the position.
Proceeds from that could be used by SuRo to either repay debt due at the end of 2026, fund new or additional investments in existing portfolio positions, or pay a dividend. To help set expectations, at the end of Q1 2026, SuRo’s position in Lime accounted for ~1.1% of its portfolio assets. The other factor we’ll have to watch is how LIME shares perform once the IPO hoopla fades and the time to the lock-up expiration date passes.
The Lime IPO targets an offering price between $24-$26 and is expected to price the transaction early next week, potentially as soon as June 29.
And before we close out this Alert, we’d recommend you watch today’s video, which is an interview with SuRo Capital Mark Klein and Julie Gillespie at TipRanks. You can find a link to the video and transcript here, or you can watch it on YouTube.
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- Locking in Big Gains on Two Positions
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- Weekly Roundup: Peace Deal, Warsh Arrives, and the Portfolio Moves Ahead
At the time of publication, TheStreet Pro Portfolio was long AMAT, MU, NVDA, and SSSS.
