Cathie Wood Loads Up on Alibaba, Baidu — Dumps Palantir and SoFi Technologies
This article first appeared on GuruFocus.
Oct 20 – Cathie Wood’s ARK Invest made bold moves last week, piling into Chinese tech giants while paring down exposure to several U.S. growth favorites.
The innovation-focused fund manager snapped up shares of Alibaba (NYSE:BABA) and Baidu (NASDAQ:BIDU), adding more than 75,000 and 111,000 shares, respectively, worth about $13.3 million combined. The pivot toward China’s internet leaders comes as sentiment around the country’s tech sector shows early signs of recovery after a long slump.
ARK also loaded up on DraftKings (NASDAQ:DKNG), grabbing over 236,000 shares valued at roughly $7.9 million, following a nearly 30% slide in the stock over the past month. The move signals confidence that the sports betting platform’s long-term growth story remains intact despite short-term volatility.
But Wood wasn’t only buying. ARK dumped positions in Palantir Technologies (NASDAQ:PLTR), Shopify (NASDAQ:SHOP), and SoFi Technologies (SOFI), trimming exposure to U.S. software and fintech names that have rallied sharply this year. The firm also cut stakes in Rocket Lab (RKLB), Roblox (NYSE:RBLX), and Archer Aviation (ACHR) as part of a broader portfolio reshuffle.