Technology shares in the United States experienced a broad decline on Tuesday, while Cathie Wood's ARK Investment Management increased its stakes in several technology and mobility companies.
ARK purchased 21,226 shares of Tesla Inc through its ARKK and ARKW funds, valued at approximately $8.1 million based on a closing price of $381.61 per share.
This acquisition comes as Tesla faces heightened scrutiny over its Full Self-Driving (FSD) technology following a fatal accident in Texas. Elon Musk and Tesla's head of artificial intelligence have publicly stated the accident was not related to the FSD system, emphasizing that the driver had manually intervened at the time.
ARK also acquired 25,795 shares of Cerebras Systems Inc through the ARKK and ARKW funds, worth about $5.8 million.
This transaction followed the company's inaugural earnings report. Despite reporting a loss, its performance surpassed market expectations, though its stock fell more than 11% in after-hours trading on Wednesday.
Through its ARKF, ARKK, and ARKW funds, ARK bought 81,254 shares of Palantir Technologies Inc. Valued at around $9.5 million based on a closing price of $116.70 per share.
Palantir recently announced its involvement in the U.S. Army's next-generation command and control system project, a significant contract that positions its software as central to critical military data architecture. The recent decline in the company's share price has been attributed to technical factors and market sentiment rather than any fundamental issues.
ARK purchased 41,141 shares of Amazon.com Inc via its ARKF, ARKK, and ARKW funds, valued at approximately $9.6 million based on a closing price of $234.11.
Amazon's stock continued a downward trend that began in May, with investors concerned about consumer spending trends, a Federal Trade Commission (FTC) investigation into its advertising practices, and the company's substantial investments in artificial intelligence infrastructure.
Despite strong business performance, including Amazon Web Services (AWS) recording its fastest growth rate in nearly four years, the stock has seen a pullback. Investors continue to monitor regulatory uncertainty, demand signals from Prime Day, and the pace of returns on Amazon's AI investments.
ARK acquired 23,603 shares of Alphabet Inc Class C stock through its ARKK and ARKW funds, valued at about $8.2 million based on the closing price.
Alphabet was recently added to the Dow Jones Industrial Average, replacing Verizon Communications Inc., underscoring its growing influence in areas such as artificial intelligence and cloud computing infrastructure.
ARK also purchased 76,195 shares of CoreWeave through its ARKK and ARKW funds, valued at approximately $8.1 million based on a closing price of $105.72.
CoreWeave's recent strong performance, including its addition to the Nasdaq 100 index and impressive MLPerf training benchmark results, has drawn significant attention.
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