TLDR
- ARK Invest sold 86,136 Tesla shares for $38.5 million on January 14 as stock declined 1.8% following Elon Musk’s FSD subscription announcement
- Wood purchased 143,089 Broadcom shares worth $50.7 million after 4.1% drop triggered by China’s software vendor restrictions on VMware
- Despite the sale, Tesla remains ARKK’s largest position at 10.68% portfolio weight with $805.74 million valuation
- ARK bought $1.7 million in Klarna shares and sold $6.4 million Taiwan Semiconductor plus $5.8 million Unity Software positions
- The transactions show ARK shifting capital from electric vehicles into semiconductors and fintech sectors
Cathie Wood’s ARK Invest executed major trades on January 14, selling a large Tesla position while increasing Broadcom holdings. The transactions occurred as both stocks experienced price declines on separate company news.
The ARK Innovation ETF sold 86,136 Tesla shares totaling $38.52 million. This represents a major trim of the electric vehicle position. Tesla maintains its ranking as ARKK’s top holding with 10.68% weight and $805.74 million current portfolio value.
Tesla stock dropped 1.8% following Elon Musk’s social media announcement. The CEO stated on X that Tesla would stop selling Full Self-Driving outright after February 14. Customers will only be able to access FSD through monthly subscriptions after that date.
Wood Buys Broadcom Dip After China Software Ban
ARK purchased 143,089 Broadcom shares across ARKK and ARKW funds for $50.74 million. Wood made the purchase after Broadcom fell 4.1% during trading. The investment marks one of ARK’s largest single-day stock purchases recently.
Broadcom shares declined following Chinese government actions against U.S. technology firms. Chinese authorities told domestic companies to avoid around 12 U.S. and Israeli software vendors. The warning cited national security issues and specifically included Broadcom’s VMware software.
Broadcom acquired VMware in a $69 billion transaction. The company designs semiconductors and infrastructure software used in AI applications, networking, and cloud computing. Wood has consistently purchased stocks when prices drop on short-term news.
ARK Makes Additional Portfolio Adjustments
ARK Next Generation Internet ETF sold 19,310 Taiwan Semiconductor shares valued at $6.39 million. The fund also sold 126,437 Unity Software shares for $5.77 million. Additional sales included positions in Kratos Defense, Teradyne, Natera, Intuit, and Global-E Online across various ARK funds.
Wood added 56,993 Klarna Group shares worth $1.71 million to her holdings. Klarna operates a buy now, pay later platform competing with Affirm and Afterpay. The Swedish company has been growing its presence in international markets.
ARK also bought 72,320 Kodiak AI shares for $679,084. Kodiak develops self-driving technology for commercial trucks. The purchase aligns with ARK’s focus on autonomous vehicle innovation.
The trades indicate ARK is redistributing investments across technology sectors. Wood reduced some high-growth positions while adding semiconductor and payment technology exposure. The strategy appears focused on balancing the portfolio.
Tesla continues as ARK’s single largest investment even after the $38.5 million reduction. Wood has held Tesla as a core position for several years. The partial sale adjusts the weighting without eliminating the holding completely.
The Broadcom purchase shows Wood viewing the China-related decline as temporary. Broadcom’s semiconductor business and software platforms support AI and cloud infrastructure growth. Wood regularly buys quality companies when external factors create price drops.
These portfolio moves reveal Wood’s current investment priorities and market views. The rotation from Tesla into Broadcom reflects tactical decisions based on recent company developments and market conditions.
