Cathie Wood, the high-profile investor and founder of ARK Invest, has made headlines once again as her ETFs offloaded over $150 million worth of Coinbase stock in just three days. This move comes after Coinbase’s stock experienced a significant rally, driven by the surge in bitcoin prices and the company’s impressive quarterly profit report.
Coinbase’s stock had soared 28.4% in a three-day win streak, reaching its highest point in 13 months. During a nine-day stretch, the stock gained a staggering 53.7%, which further fueled investor interest. This rally coincided with bitcoin’s surge of 22.5% over the past nine sessions, hitting a more than two-year high.
Wood’s ETFs, including the ARK Innovation ETF, the ARK Net Generation Internet ETF, and the ARK Fintech Innovation ETF, sold a total of 875,979 Coinbase shares during this period. The value of these sales amounted to $151.3 million, based on the closing prices of the shares. Despite the sell-off, Coinbase remains the largest holding in all three of Wood’s ETFs.
The flagship ARK Innovation ETF, for instance, had Coinbase’s stock as its top holding with a weighting of 9.57%, surpassing electric-vehicle giant Tesla Inc., which held the second-largest position at 8.21%. Wood’s ETFs have also been actively buying Tesla shares in February, acquiring 248,787 shares valued at $46.4 million. However, Tesla’s stock experienced a 1.9% decline on Monday.
In addition to Coinbase and Tesla, Wood’s ETFs have made moves in other stocks as well. They sold a total of 480,166 shares of trading app Robinhood Markets Inc., valued at approximately $6.7 million. This sale reversed all the shares the ETFs had previously bought in February when Robinhood’s stock experienced an 18.2% increase over three sessions.
Furthermore, the ETFs sold a total of 27,661 shares of Nvidia Corp. during February, with the last sales occurring on February 15. The value of these shares was approximately $19.9 million. Nvidia’s stock fell 2.7% on Monday, potentially signaling its first three-day losing streak since December 4. Investors will be closely watching as the semiconductor and artificial intelligence company is set to report its fourth-quarter results after Wednesday’s closing bell.
Wood’s recent moves highlight her active portfolio management strategy. While offloading some of her Coinbase holdings, she is still bullish on the company’s prospects, as it remains the largest holding in her ETFs. Additionally, her continued buying of Tesla shares demonstrates her confidence in the electric vehicle industry’s future. The sale of Robinhood shares and Nvidia shares also suggests Wood’s flexibility in responding to market conditions.
As always, Cathie Wood’s investment decisions attract attention due to her successful track record and unique investment approach. Investors will be keen to see how these recent moves play out and what other opportunities Wood identifies in the ever-changing market landscape.
