ARK Invest, the investment firm led by prominent investor Cathie Wood, adjusted its portfolio on Monday by increasing its stake in Chinese tech giant Baidu (BIDU) while reducing its holdings in Tesla (TSLA).
The ARK Innovation ETF (ARKK) purchased 51,263 shares of Baidu for approximately $6.7 million. This move follows Citigroup analyst Alicia Yap's recent upward revision of Baidu's target price to $181, suggesting nearly 40% upside potential. Yap highlighted that sustained growth in China's artificial intelligence and cloud services sectors is driving market interest in the stock.
Wood also expanded her bets on autonomous driving technology, with the ARK Autonomous Technology & Robotics ETF (ARKQ) acquiring 17,326 shares of WeRide (WRD) for around $1.6 million. Despite a recent 2.8% price drop after JPMorgan lowered its target price, the bank maintained a "buy" rating, citing long-term growth potential as robotaxi regulations gradually mature.
Meanwhile, ARKK sold 2,100 Tesla shares worth $923,000 amid growing analyst concerns about the electric vehicle maker's valuation. Other portfolio adjustments included positions in GeneDX Holdings (WGS), Tempus AI (TEM), and Arcturus Therapeutics (ARCT).
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