Analyst Marvin Fong from BTIG maintained a Buy rating on SuRo Capital (SSSS – Research Report) and keeping the price target at $7.00.
Marvin Fong’s rating is based on several positive developments within SuRo Capital’s portfolio that have not yet been reflected in the company’s reported NAV. Notably, CoreWeave, a significant investment for SuRo, is preparing to go public and has secured a substantial service agreement with OpenAI, which could significantly increase its valuation. This development, along with other potential public listings of SuRo’s holdings, suggests a strong upside potential for the company’s portfolio.
Despite some markdowns in other investments like Learneo and Blink Health, these are not expected to significantly impact SuRo’s NAV going forward. Additionally, SuRo’s stock is currently trading at a discount to its NAV, indicating that the market has not fully appreciated these positive developments. Therefore, Marvin Fong maintains a Buy rating, seeing the current stock price as undervalued given the anticipated growth and upcoming milestones in SuRo’s portfolio.
In another report released today, JMP Securities also reiterated a Buy rating on the stock with a $8.00 price target.
SSSS’s price has also changed moderately for the past six months – from $3.815 to $5.270, which is a 38.14% increase.