Cathie Wood’s ETFs took advantage of the worst month in more than a year for Tesla Inc. shares to scoop up more than $150 million worth of the electric-vehicle giant’s stock.
The high-profile investors ARK Innovation ETF
ARKK
bought 48,864 shares of Tesla
TSLA,
For all of January, the ETF, which invests in “disruptive innovation” companies, bought 628,675 Tesla shares valued at $128.02 million.
Read more about how Cathie Wood was buying more Tesla stock on a dip.
Meanwhile, Wood’s ARK Net Generation Internet ETF ARKW, which bets on companies that benefit from the shifting of the bases of technology infrastructure to the cloud, bought 113,793 Tesla shares valued at $23.06 million in January.
In total, the ETFs bought about $151.08 million worth of the stock in January.
Tesla’s stock rose 2.2% over the past three days, and was up another 1% in Thursday’s premarket, as Chief Executive Elon Musk dealt with a court ruling that effectively nullified his $56 billion pay package by saying he’d push for a shareholder vote to reincorporate the company in Texas.
For January, the stock tumbled 24.6%, amid disappointing earnings and concerns over falling demand for EVs. That marked the biggest monthly selloff for the stock since it sank 36.7% in December 2022.
Also read: Cathie Wood’s ETFs are now buying Tesla’s stock.
Following the January purchases, Tesla’s stock is the second largest holding of the ARK Innovation ETF at a 7.98% weighting, and is the fifth largest holding of the ARK Next Generation Internet ETF with a 5.40% weighting.
Tesla’s stock has dropped 8.9% over the past three months through Wednesday and has edged up 3.2% over the past 12 months. In comparison, the Global X Autonomous & Electric Vehicles ETF DRIV has lost 6.8% over the past year while the S&P 500 index SPX has rallied 17.6%.
