Ark Buys Tesla as Stock Slumps Amid Earnings Miss
Cathie Wood's investment firm Ark has been active in the market, making notable trades as stocks fluctuate. In one such move, the firm bought Tesla shares when the company's stock price dipped after missing earnings expectations. This came at a time when the broader market was experiencing weakness, particularly in the crypto-linked sector.
The decline in Tesla's stock was attributed to factors like discounting and weaker regulatory credit revenue, which put pressure on its margins. Despite this, Wood's firm saw an opportunity to buy into the company's shares. This is not the first time Ark has shown faith in Tesla, as the firm's holdings in the electric vehicle maker remain significant.
In another trade, Ark sold 40,553 shares of Robinhood through its ARKW fund. The sale came at a price of $101.58 per share, resulting in a total value of $4.1 million. This move follows recent weeks where Wood's firm has been rotating out of the stock. On Wednesday, Ark had sold an even larger amount of Robinhood shares worth $10.2 million.