Cathie Wood of Ark Invest Sells : Cathie Wood’s Ark Invest, known for its bullish approach to innovative tech stocks, recently made headlines when they embarked on an aggressive selling spree for Coinbase (COIN), Nvidia (NVDA), and Robinhood (HOOD) shares, despite all three companies reporting better-than-expected earnings. This move coincided with their prices increasing significantly; Coinbase saw over 30% appreciation in just one month.
Cathie Wood of Ark Invest Continues Selling Coinbase Shares
Ark Invest recently sold off an extensive portion of its Coinbase shares worth $12 million, totaling 72,242. The selloff activity escalated significantly following Coinbase’s impressive earnings report that propelled share prices to two-year high of $190.
On February 22nd, Ark Innovation ETF (ARKK) sold 2,828 Coinbase shares for $31 Million sold by Ark Invest funds. Furthermore, on February 21st both ARKK and Ark Fintech Innovation ETF (ARKF) sold 31.747 and 8.936 coins respectively for this eventful week of trading activity in COIN shares.
On February 20, ARKK, ARKF and the ARK Next Generation Internet ETF (ARKW) collectively sold off 19,733, 4,970 and 4,029 Coinbase shares respectively.
Coinbase (COIN) witnessed a 12.26% price decrease this week, closing Friday at $165.98 before experiencing another 0.59 drop during after-hours trading.
Cathie Wood Rejects Nvidia and Robinhood Shares
Ark Invest recently made headlines when it announced plans to sell Nvidia shares, despite generally bullish sentiment regarding artificial intelligence (AI) technology. Last week, its Autonomous Technology & Robotics ETF (ARKQ) divested 12,146 Google and 2,707 Nvidia shares, while its sister fund (ARKW) sold 1,969 of these Nvidia stocks.
On February 22nd, ARKW completed an important divestment from Nvidia by selling 5,067 shares for $4 Million, marking a major exit from this semiconductor titan.
Ark Invest’s selling activity took its toll on Robinhood shares as well, with both ARKW and ARKF selling 194,413 and 104.669 shares respectively on February 20, followed by another 37,312 sold on Feb 22.
Nvidia (NVDA) saw its stock surge 6.41% throughout the week and finish it off on Friday at $788.17; Robinhood Markets experienced an 8.46% gain, ending up at $14.48 with an extra surge of 1.177% after-market hours.
Assessing Ark Invest’s Strategy in Light of Market Volatility
Ark Invest’s recent decision to sell significant stakes in Coinbase, Nvidia and Robinhood despite recent earnings successes and market momentum raises eyebrows as to their current investment strategy. While Cathie Wood’s firm has historically taken bullish bets on disruptive technologies like Blockchain or virtual reality gaming systems like VR headsets from companies like Tencent Gaming Group Inc, recent sales suggest a potential change in portfolio management approach as markets become more volatile and industry dynamics evolve over time.
As investors eagerly anticipate further details regarding Ark Invest’s investment decisions, the wider market remains vigilant for any signs that indicate that its strategies might need to change as market conditions rapidly change and new investment opportunities emerge.
