Situational Awareness LP discloses a 1.7 million-share PUT position in MU, signaling a bearish bet amid AI-driven supply chain shifts.
A hedge fund led by Leopold Aschenbrenner has established a $13.7 billion bearish position in Micron Technology (NASDAQ:MU) through PUT options, comprising 1.7 million shares. The stake, revealed in first-quarter 2026 filings, marks a significant increase from a prior 300,000-share PUT position held in late 2025, which was fully liquidated by year-end.
Micron, a key player in memory and storage, is projected to contribute alongside NVIDIA to a third of S&P 500 earnings growth this year. However, competitive pressures loom as NVIDIA reportedly favored SK Hynix and Samsung for high-margin, ultra-advanced memory allocations, sidelining Micron for primary supply slots.
The shift threatens Micron’s pricing power, forcing potential competition on secondary allocations. Memory’s commodity nature heightens margin risks if the company loses tier-1 architectural dominance.