What Cathie Wood’s ARK Invest bought this week?

Ace investor Cathie Wood’s ARK Invest is known to allocate a majority portion of its investment corpus on growing and cheaply valued technology shares or technology shares in her portfolio which have gone under a recent stock correction.

Tesla, Zoom Video Communications and Roku are the top three holdings of ARC Innovation Fund - which is the flagship fund Cathie Wood’s fund house runs. 

Wood added to her existing positions in Coinbase Global, Rocket Lab, and Cerus on Tuesday, June 6, 2023. Let's look at a closer look at the stocks ARK ETF is buying. 

Coinbase

Coinbase share price dropped since the beginning of the week - 9% on Monday and 12% on Tuesday over rising concerns around the cryptocurrency sector after the US Securities and Exchange Commission filed a lawsuit against Binance - the world’s largest cryptocurrency exchange. 

Crypto investors were quick to sell off most cryptocurrency related stocks after the US SEC demanded a US court to freeze Binance's US assets, while also filing a lawsuit against Binance CEO for allegedly operating a "web of deception."

The SEC alleged that Binance artificially inflated its trading volumes, diverted customer funds, failed to restrict U.S. customers from its platform and misled investors about its surveillance controls. 

The US SEC also sued Coinbase for violating US securities laws after filing a case on Binance.

Cathie Wood’s ARK Invest bought nearly 400,000 shares of Coinbase after its fall. 

Coinbase share price performance:

Rocket Lab

Cathie Wood’s ARK Invest bought Rocket Lab shares for three consecutive sessions on June 5, June 6 and June 7 totalling its holdings at 3.68 million shares, the value of it amounts to $18.88 million based on the latest closing price of $5.13 per share as on June 7. 

Rocket Lab has a successful track record, having launched numerous space missions and establishing itself as the sole U.S. commercial small launch vehicle to effectively deploy satellites into orbit in 2023. 

The company's flagship launch vehicle, Electron, has garnered widespread attention for its impressive success rate and ability to deploy satellites into orbit, making the company a key player in the niche space sector shares. 

Rocket Lab shares have gained about 36% so far this year and seven analysts on Wall Street rate the stock as a ‘buy with a share price target of $9.75. 

Rocket Lab share price performance:
 

Cerus

Cerus is a biotechnology company, focused on enhancing blood safety using its Intercept platform. The INTERCEPT Blood System, which is based on its technology for controlling biological replication, is designed to reduce blood-borne pathogens in donated blood components intended for transfusion.

The firm has a market cap of slightly above $400 million and reported revenues of nearly $31 million for the quarter ended March 2023. It is one of ARC’s smaller holdings in its portfolio. 

As on Jun 7, 2023 ARK Invest had a total holding of 20.07 million shares, an addition of 10 million from the previous day, according to ARK Invest’s website. The value of this investment is about $50 million. 

Cerus share price performance:

This is not investment advice. Investments in the securities market are subject to market risk, read all the related documents carefully before investing. Past performance is not indicative of future returns.