Cathie Wood’s ARK line of ETFs made some significant trades yesterday, selling Palantir Technologies (PLTR) and Robinhood Markets (HOOD) stocks. At the same time, ARK bought shares of Shopify (SHOP), Advanced Micro Devices (AMD), Taiwan Semiconductor (TSM), and Amazon (AMZN). Most of these stocks are important players in the AI (artificial intelligence) domain.
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Below is a screenshot of how these stocks compare on various parameters using TipRanks’ Stock Comparison tool.
Let’s learn more about these trades in detail.
Palantir Technologies
Wood continued to offload shares of the big data analytics company, making it the largest sell trade in dollar value for the day in ARK. On February 11, several ARK ETFs sold a cumulative 252,261 shares of PLTR worth $29.43 million. This sale decision follows another $16 million worth of PLTR stock sold on Monday.
Wood seems to be leveraging investor enthusiasm and the rally in PLTR’s stock price. PLTR stock has already gained over 48.9% so far this year.
Robinhood Markets
The Ark Next Generation Internet ETF (ARKW) sold 79,267 shares of Robinhood Markets yesterday. The company is set to release its Q4 FY24 results after the market closes on February 12. Analysts remain highly optimistic about earnings beat this time. HOOD stock has also been on the rise this year, gaining 43% so far.
Shopify
One of the most interesting buy trades by Wood was the purchase of 24,442 shares of the Canadian e-commerce portal Shopify. The ARKW ETF bought worth $3.92 million of SHOP stock, following its better-than-expected Q4 results released yesterday. Despite a weak guidance for Q1 FY25, some analysts lifted the price target on SHOP stock, pushing it higher yesterday.
Advanced Micro Devices
Ark also bought an additional 11,711 shares ($1.3 million) of the semiconductor company despite the disappointing data center revenues reported for Q4. AMD has been unable to gain a significant foothold in the AI boom despite having some of the best AI-enabled chips in its portfolio. Its data center revenues have been underperforming the broader market expectations.
Taiwan Semiconductor
ARKW also added a small number of TSM shares. The ETF loaded 4,417 TSM stock to its portfolio, as the company gears up for the new 1nm fabrication facility in Southern Taiwan. TSM remains one of the strongest players in the AI chip market and continues to fortify its stronghold with the development of advanced chipmaking capacity.
Amazon.com
Ark Fintech Innovation ETF (ARKF) purchased 19,726 shares of the American e-commerce giant, valued at $4.59 million. Amazon is emerging as a big player in the AI domain, with its Amazon Web Service (AWS) segment boasting some of the best cloud computing offerings for data centers. Also, Amazon plans to invest up to $100 billion in AI capex this year, one of the largest among the big tech players.
