To The Moon

"For every $1 of hardware sold by $NVIDIA Corp(NVDA)$, software vendors and SaaS providers generate $8 in revenue." 图片 Cathie Wood, the founder of Ark Investment Management $ARK Innovation ETF(ARKK)$, stated that software providers will be the next beneficiaries after the AI frenzy. On Tuesday, Cathie Wood, known for her bets on "disruptive innovation," said in a media interview, "While Nvidia will perform well over time, Ark has shifted its focus to the 'next target,' and we are looking at software providers that were in a similar position to Nvidia when we started buying." The AI feast propelled Nvidia to a trillion-dollar market capitalization, but Cathie Wood's flagship fund, known for its bets on "disruptive innovation," sold its holdings in Nvidia in early January, missing out on a $560 billion rebound. Auntie Cathy previously defended herself, stating that there are cyclical risks in the chip industry. Furthermore, Auntie Cathy pointed out that the larger market for artificial intelligence lies in software, stating that for every $1 of hardware sold by Nvidia, software vendors and SaaS providers generate $8 in revenue. Now, Auntie Cathy is betting on software stocks that she expects to eventually grow to the scale of Nvidia, such as $UiPath(PATH)$, $Twilio(TWLO)$, $Teladoc Health Inc.(TDOC)$ with her fund holding these three stocks. UiPath, based in New York, soared to over $90 per share after its IPO in 2021 but subsequently plummeted by 80%. Twilio, headquartered in San Francisco, has fallen 85% from its peak in 2021, while Teladoc Health has dropped over 90% from its high point in the same year. In addition, Auntie Cathy reiterated that Tesla is the "biggest AI concept stock" and expects its stock price to rise from the current level of around $200 to $2000 by 2027, driven by autonomous driving technology. "We believe that by 2038, the revenue of the global autonomous taxi platform will transform from almost zero to $10 trillion. Many people see Tesla as an automotive stock, but we don't, as it is much more than just a car manufacturer." It is worth mentioning that Auntie Cathy's fund has recently underperformed, with the Ark Innovation ETF falling over 10% since its peak in early February, while the Nasdaq 100 index jumped 12% during the same period.