Cathie Wood's Ark Amasses Nearly $15M Tesla Shares Ahead Of Crucial Q1 Deliveries Report - Continues To Offload Nvidia, Coinbase And Robinhood

Tesla, Inc. TSLA shares fell sharply intraday on Monday before recouping most of the losses and ending moderately lower, with worries concerning first-quarter delivery miss potentially triggering the sell-off. Undeterred by this, Cathie Wood’s Ark Invest bought another bunch of Tesla shares on Monday.

Tesla Buying: Ark, through its flagship Ark Innovation ETF ARKK and Ark Next Generation Internet ETF ARKW bought 84,164 Tesla shares on Monday. The purchase would have cost the firm $14.75 million, based on Tesla’s closing price of $175.22.

Tesla is ARKK’s second-biggest holding in terms of value of shares and it accounts for 8.68% weighting in the exchange-traded fund. Wood and Ark are bullish on Tesla despite the near-term noise, with the celebrity stock picker calling CEO Elon Musk as the “Renaissance Man” of our age.

Ark expects Tesla to hit $2,000 by 2027.

The Wood-led has been a sporadic buyer of Tesla shares in recent times, especially propping them up during their weakness.

Tesla is expected to announce its first-quarter deliveries on Tuesday and analysts are downbeat about the number. Troy Teslike, a fairly accurate Tesla number cruncher, looks for deliveries of 409,000 units, down from the 422,875 unit sales the company reported a year ago and also lower than the current consensus estimate of 431,125 units.

Gary Black, Manager Partner at Future Fund and a Tesla investor said the stock could rally even in the face of a delivery miss if the company manages to avert a year-over-year sales decline.

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Major Stock Disposals: In line with its recent stance, Ark continued to offload shares of Robinhood Markets, Inc. HOOD and Coinbase Global, Inc. COIN – both companies having exposure to cryptocurrencies. It is noteworthy that cryptocurrency exchange Coinbase is still ARKK’s top holding. The actively-managed ETF holds $773.03 million Coinbase shares, and this gives the stock a weighting of nearly 10% in the fund.

The cryptocurrency market saw weakness on Monday, with the apex crypto, Bitcoin BTC/USD slipping further below the $70,000 mark.

Ark also persisted with its Nvidia Corp. NVDA selling.

The details of the sales are as follows:

• Robinhood: 663,796 shares valued at $12.88 million
• Coinbase: 7,040 shares valued at $1.78 million
• Nvidia: 3,200 shares valued at $2.89 million

Ark ended Monday’s session down 1.68% at $49.24, according to Benzinga Pro data.

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