On Monday, Cathie Wood-led Ark Invest made significant trades, including purchasing shares of Block, Inc. (NYSE:XYZ) and Circle Internet Group, Inc. (NYSE:CRCL). Ark jettisoned shares of Palantir Technologies Inc. (NASDAQ:PLTR) and Advanced Micro Devices Inc. (NASDAQ:AMD)
These trades were part of a broader strategy executed by Ark Invest on Monday involving multiple transactions across their ETFs.
The Palantir Trade
Ark Invest executed a notable sell-off of Palantir shares on Monday. Across its ARK Blockchain & Fintech Innovation ETF (BATS:ARKF), ARK Innovation ETF (BATS:ARKK), and ARK Next Generation Internet ETF (BATS:ARKW) funds, Ark sold a total of 139,456 shares. With the shares closing at $186.38 for the day, the transaction was estimated to be worth $26 million.
This move comes after Palantir’s impressive second-quarter earnings report, released in early August, where the Peter Thiel-co-founded company reported revenue of $1.94 billion, surpassing analyst expectations of $1.80 billion. The AI software firm also reported adjusted earnings of 41 cents per share, exceeding estimates of 35 cents per share.
The AMD Trade
On the same day, Ark Invest reduced its holdings in AMD by selling 8,623 shares through its ARKF ETF. AMD’s stock closed at $470.72, translating to a trade value of approximately $4.1 million.
This decision follows AMD’s announcement of expanding its AI infrastructure in Saudi Arabia, which involves collaboration with Cisco Systems Inc. and HUMAIN. Despite these developments, the Lisa Su-led company’s stock remains below its June peak, prompting Ark Invest to adjust its position.
Ark has been consistently selling AMD shares lately. Last week, Wood also dumped the stock.
The Block Trade
Ark Invest made a significant purchase of Block shares, acquiring a total of 456,059 shares across its ARKF, ARKK, and ARKW ETFs. The stock closed at $82.02, making the total trade value approximately $37.4 million.
This move follows Block’s second-quarter earnings report, which exceeded expectations with earnings of $1.02 per share and revenue of $6.62 billion. The numbers released in early August show that the Jack Dorsey-led company’s growth in CashApp and Square volumes likely influenced Ark’s decision to increase its stake.
Notably, major cryptocurrencies have been popping lately, with Bitcoin (CRYPTO: BTC) gaining 23.73% this month while Ethereum (CRYPTO: ETH) rose 31.44%. Block has integrated Bitcoin into its operations and holds 9,177 BTC, which is worth about $714.22 million.
The Circle Trade
Ark Invest also increased its position in Circle, purchasing 35,192 shares via its ARKF ETF. With a closing price of $95.55, the trade was valued at around $3.36 million.
The USDC (CRYPTO: USDC)-issuer has been in the spotlight following Bernstein’s reiteration of a $140 price target, citing the company’s continued growth in stablecoin adoption and blockchain capital markets. Wood has praised Circle’s disruptive potential, which may have influenced this investment decision.
Other Key Trades
- Sold 55,314 shares of Shopify Inc. (SHOP) through ARKF and 24,867 shares from ARKW.
- Sold 58,873 shares of Roblox Corporation (RBLX) via ARKF.
- Purchased 56,987 shares of Guardant Health, Inc. (GH) through ARKG.
- Sold 175,841 shares of Personalis, Inc. (PSNL) via ARKG.
- Purchased 200,303 shares of Rocket Lab Corp. (RKLB) through ARKK.
Benzinga Edge Stock Rankings indicate Palantir stock has a Momentum score in the 13th percentile and a Value score in the 3rd percentile.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo Courtesy: Ira Lichi On Shutterstock.com
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