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Cathie Wood Bets Big on AI Amidst Market Sell-off
16 Oct
Summary
- ARK Invest bought $26.4M in CoreWeave, Meta, and Cerebras.
- AI stocks faced a broad sell-off due to inflation concerns.
- Wood's fund sold $6.3M in Palantir Technologies shares.
On Wednesday, October 14, Cathie Wood's ARK Invest made substantial investments, acquiring shares worth approximately $26.4 million across CoreWeave, Meta Platforms, and Cerebras Systems. This strategic move took place during a broad market sell-off affecting AI stocks.
Concerns over higher U.S. inflation data and the escalating costs associated with expanding AI infrastructure contributed to investor unease. CoreWeave, in particular, saw its stock drop by 15.46%, yet ARK Invest purchased shares valued at about $12.4 million, appearing to capitalize on the decline.
ARK Invest also increased its holdings in Meta Platforms and Cerebras Systems, despite their individual market challenges. Meta's stock fell 3.27%, while Cerebras experienced a 5.10% drop on the day its IPO lock-up period expired.
Simultaneously, ARK Invest sold 31,432 shares of Palantir Technologies, valued at approximately $6.3 million, following a significant rally in the stock since early August. Palantir has shown strong revenue growth, but its high valuation remains a point of investor caution.
