Ark Invest Buys into Block Inc Weakness, Adds to Circle Stake

Cathie Wood's investment firm Ark Invest has continued its pattern of buying into weakness in fintech and crypto-adjacent stocks. On Monday, Ark Invest added roughly $37.4 million worth of Block Inc shares to its portfolio despite the stock falling 1.85% on the day. The purchase of 456,059 shares was split across three actively managed funds: the Ark Innovation ETF, the Ark Next Generation Internet ETF, and the Ark Blockchain and Fintech Innovation ETF.

Block's improving numbers have helped explain why Ark keeps buying despite short-term volatility. The company posted stronger-than-expected second-quarter results in August with gross profit rising 25% year over year to $3.17 billion. Management responded by raising guidance for the rest of the year, lifting its full-year gross profit forecast to $12.51 billion, implying about 21% growth for 2026.

Ark Invest also bought 35,192 shares of Circle Internet Group worth $3.36 million on Monday as CRCL surged 9.65% to $95.55. Bernstein has kept a $140 price target on Circle, citing stablecoin payment growth and blockchain capital markets activity. The firm estimates that USDC now accounts for roughly 80% of decentralized exchange trading and finance volumes, with more than 900 paid services using its Agent Stack.