Daily Brief United States: ARM Holdings, Gold, Talen Energy , Culp Inc, Shenandoah Telecommunications Company, Turning Point Brands and more

• Softbank raised around US$4.9bn via selling some of its stake in ARM Holdings (ARM US)’ US IPO. Its remaining 90% stake will be released from its IPO linked lockup soon.
• ARM develops and licenses high-performance, low-cost, and energy-efficient CPU products and related technology, which is used by semiconductor companies and OEMs to develop their own products.
• In this note, we talk about the upcoming lock-up expiry and possible deal dynamics.

• The number of risk-on signals continues to grow, while risk-off signals remain virtually non-existent. We will be sure to point it out when this dynamic starts to change
• In the meantime, we want to continue riding this bull market higher, and our bullish outlook on the S&P 500, Russell 2000, and Nasdaq 100 (since early-November 2023) remains intact.
• Gold is breaking out of a 3.5-year base to all-time closing highs — buy. Silver is breaking out above a 3-month base at $23.50. Fueled by toppy DXY and rates

• TLNE announced the sale of Cumulus Data for a valuation higher than we were expecting and includes a long-term power purchasing agreement
• TLNE’s management has also mentioned an ongoing sales process for TLNE’s assets in Texas, which could generate additional value.
• TLNE sold Cumulus Data for $650 million to Amazon Web Services (“AWS”). TLNE sold the assets the Company had situated adjacent to Susquehanna nuclear power plant

• Culp reports 3QFY24 results after the close on Wednesday, March 6. An investor conference call is scheduled for 11:00 am ET on Thursday, March 7.
• Culp revised its guidance for the second half of 2023 in January in conjunction with the WTR Furniture/Furnishings Virtual Conference.
• Recovery in the mattress segment had been slower than previously expected.

• SHEN announced the sale of its tower assets for a price that would equivalently pay for the purchase of Horizon Telecom, effectively creating an asset trade that creates considerably value.
• SHEN has unlocked value by selling assets that are expected to experience a decline in revenue after this year for assets that should realize revenue and adjusted EBITDA growth
• The growth SHEN is purchasing without the need of cash financing should have a positive impact on SHEN’s valuation.

• Attractive valuation and low multiples compared to peers make Turning Point Brands an intriguing investment opportunity
• Company is poised for significant top-line and bottom-line growth despite past struggles and negative sentiment
• Strong position in tobacco alternative market and focus on non-cigarette products set TPB up for future success, offering potential upside for investors.

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.