Cathie Wood Continues Tesla Sell-Off Streak: Ark Dumps $8.4M Worth of EV Maker’s Stock Despite AI Bullishness
By Benzinga
On Tuesday, Cathie Wood-led Ark Invest continued its selling spree of Tesla Inc (NASDAQ:TSLA) shares for the second consecutive day.
The most significant trade involved the sale of 28,659 Tesla shares, despite the electric vehicle maker’s recent stock strength and positive growth projections. At Tuesday’s closing price of $293.34, the trade was valued at $8.4 million.
The Wood-led investment firm sold 24,189 Tesla shares through the Ark Innovation Fund (NYSE:ARKK) and 4,470 shares through the Ark Next Generation Internet ETF (NYSE:ARKW).
The Tesla Trade
Ark Invest sold a significant number of shares in the Elon Musk-led company, continuing a trend despite Tesla’s stock strength in recent sessions.
This move comes after Tesla reported stellar second-quarter deliveries and analysts expressed confidence in further growth in the second half of the year.
Despite the sale, Ark Invest remains bullish on Tesla’s long-term prospects, particularly in the realm of AI. Ark analyst Frank Downing recently predicted that Tesla’s AI training capacity will likely grow at a compounded annual growth rate of 273% from 2021 to 2024, potentially enabling Tesla to be the first to roll out a nationwide autonomous taxi platform.
See Also: Here’s How Much $1,000 Invested In Tesla Stock Will Be Worth If It Hits Cathie Wood’s Price Target
Other Key Trades:
- Ark Invest bought 18,099 shares of Twilio Inc (NYSE:TWLO) through its Ark Fintech Innovation ETF (NYSE:ARKF).
- ARKF also purchased 100,372 shares of AvidXchange Holdings Inc (NASDAQ:AVDX).
- The Fintech Innovation fund also acquired 637 shares of SoFi Technologies Inc (NASDAQ:SOFI).
- Significantly, Ark Invest sold 26,951 shares of Coinbase Global Inc (NASDAQ:COIN) through the Innovation Fund and 16,565 shares through the Fintech Fund, and 8,708 through the Next Generation Internet ETF.
All in all Ark Invest sold nearly $5.5 million worth of Coinbase shares at Tuesday’s closing price of $104.59.
These trades reflect Ark’s ongoing strategy of investing in innovative companies, while also adjusting its holdings based on market trends and company performance.
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