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Cathie Wood's ETFs Sell Tesla's Stock for the First Time in 9 Months

Dow Jones07-03

As Tesla Inc.'s stock is back on the upswing, high-profile investor Cathie Wood's ETFs are selling again.

Wood's flagship Ark Innovation ETF ARKK sold 56,425 Tesla shares $(TSLA)$ on Tuesday, valued at $13.05 million at Tuesday's closing price.

The sale by no means suggests a change in strategy, as Tesla remains the ETF's largest holding by far with a 14.6% weighting, valued at $891.89 million as of Wednesday morning. But it did mark the ETF's first sale since Oct. 18.

The sale comes after Tesla's stock closed Tuesday at a six-month high after strong second-quarter deliveries data.

The ETF is essentially continuing its pattern of trimming its stake as the stock rallies, after loading up on the dip.

Tesla's stock rose 2.2% in premarket trading Wednesday, putting it on track for a seventh straight gain. That would be its longest winning streak since the 13-day streak that ended June 13, 2023.

Through Tuesday, the stock had run up 16.9% in two days, soared 26.7% during its six-day win streak and rocketed 62.8% since April 22, when it closed at a 15-month low of $142.05.

Coincidentally, ARKK's last purchase of Tesla shares was on April 23.

Ark had started buying Tesla stock on Dec. 20, after it had tumbled nearly 16% since its 2023 closing peak of $293.34 on July 18.

The ETF bought a total of 2,069,794 Tesla shares from then to April 23. In addition, the Ark Net Generation Internet ETF ARKW had bought 444,508 shares and the Ark Autonomous Technology & Robotics ETF ARKQ had purchased 89,139 shares during that time.

On Tuesday, the Ark Net Generation ETF sold 6,442 shares of Tesla. The EV giant still has a weighting of 10.3% in the ETF, valued at $152.54 million.

Despite the recent surge, Tesla's stock has still lost 6.9% year to date through Tuesday, while the ARKK has dropped 14.4% and the S&P 500 index SPX has rallied 15.5%.

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Comment3

  • Where do we find this information ourselves?
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  • Smile, take profit first. 
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  • WillsonToh
    ·07-03
    If she sell we buy. If she buy we sell lol
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