Cathie Wood and her Ark Invest firm cashed in on their Tesla stock holdings Monday as the EV giant advanced for a 12th straight day and has advanced 130% in 2023.
Wood's Ark Investment Management sold off more than 393,000 shares of Tesla Monday for around $98.2 million, based on TSLA closing price of 249.83. The recent Tesla sell-off was done through ARK Innovation ETF, ARK Next Generation Internet ETF and ARK Autonomous Technology & Robotics ETF.
As of June 13, Tesla stock is the top holding in ARK Investment with a weight of 11.86% in ARKK, 8.48% in ARKW and 15.44% in ARKQ.
Tesla jumped 3.5% to 258.56 Tuesday during market trade, marking thirteen consecutive sessions closing with a gain. On Monday, shares advanced 2.2% to 249.83. Ahead of market trade Tuesday, Tesla stock was up 131% in 2023 but down around 40% from its all-time high of 414 from November 2021.
Cathie Wood Sells TSLA After Buying Spree
Wood has been buying up Tesla on the cheap throughout 2023 before selling big on Monday.
On April 26, Wood-led funds spent an estimated $29 million on more than 190,000 TSLA shares after Tesla sank 4.3% following a downgrade. She also jumped on Tesla stock on April 20, with purchases worth more than $40 million as Tesla dropped nearly 10% following the EV company's Q1 earnings.
On March 8, with Tesla stock slipping 3%, Wood's ARK crew scooped up $12.62 million worth of the shares. They also grabbed a hefty share of Tesla stock on Jan. 3. TSLA shares plummeted more than 12% that day, the worst showing in 2023, leading Wood to purchase around $19 million of Tesla stock. Three days later, TSLA hit bear-market lows of 101.81.
Wood's funds have purchased more than 1.3 million TSLA shares so far in 2023 and have now sold 660,000 shares.
Wood's Ark Invest predicted in late April that Tesla will reach a $2,000 per share price in 2027. Wood's firm sees Tesla's autonomous "robotaxi business" as a "key driver" for this estimated valuation.
Ark believes Tesla sales in 2027 will be between 10.3 million and 20.7 million vehicles, with massive revenue from autonomous driving.
Wood's firm has long made sky-high predictions about Tesla sales and robotaxis that haven't come to pass. A year ago, Ark forecast a split-adjusted TSLA price of 1,533 in 2026.
Tesla Stock
Tesla stock surged 14% to 244.40 last week. TSLA is now well extended past a 207.79 buy point from what's either a cup or a double-bottom base. Shares are more than 30% above their 200-day/40-week moving average — the most extended they've been since the stock marked its peak in November 2021.
Tesla ranks third in IBD's automaker industry group. It has a 97 Composite Rating out of 99. Tesla stock has a 90 Relative Strength Rating and its EPS Rating is 93 out of 99.
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