Cathie Wood’s Ark Invest Makes Bold Moves: Increases Roku Stake, Sells Crypto-linked Stocks Cathie Wood’s Ark Invest Makes Bold Moves: Increases Roku Stake, Sells Crypto-linked Stocks

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By Ronald Tech

Streaming device manufacturer Roku, Inc.’s ROKU shares took a tumble on Friday after the company reported a year-over-year decline in fourth-quarter average user spending and issued a disappointing guidance for the first quarter. Undeterred by the sell-off, Cathie Wood’s Ark Invest significantly increased its exposure to the company.

Ark Goes Roku Shopping: Ark, through three of its actively-managed exchange-traded funds, the Ark Innovation ETF ARKK, Ark Next Generation Internet ETF AKRW and Ark Fintech Innovation ETF ARKF, bought 1,492,781 Roku shares in aggregate.

At Roku’s closing price of $72 on Friday, the purchase was worth $107.48 million.

Roku is the third-biggest holding in Ark’s flagship ETF, the ARKK, with a portfolio weighting of 7.39%. ARKK alone holds about $621.5 million worth of Roku shares.

Close on the heels of Roku’s results, sell-side analysts cut their price targets for the stock, citing the muted outlook for platform growth and operating costs for the remainder of the year.

Ark also was a heavy buyer of online personal finance company SoFi Technologies, Inc. SOFI. ARKK and ARKF, together, added 2,070,380 SoFi shares valued at $17.31 million.

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Robinhood, Coinbase Shunned: Ark, however, trimmed stake in two crypto-linked stocks Robinhood Markets, Inc. RH and Coinbase Global, Inc. COIN. The liquidations came despite the two stocks rallying strongly this week on the back of their quarterly results.

  • On Friday Ark sold 480,166 Robinhood shares worth $6.72 million.
  • The firm trimmed its Coinbase shares by 499,149 shares or $90 million, (in terms of value).

Ark’s flagship ARKK ETF closed Friday’s session down 2.54% at $50.33, according to Benzinga Pro data.

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