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Cathie Wood, co-founder, CEO, and investment manager of the ARK Invest family of exchange-traded funds, regularly discloses her stock transactions after every trading day.
Wood, well-known for her significant returns in 2020, has experienced uneven success in the subsequent years, but she managed another excellent performance in 2024. This year’s challenges have not discouraged her from constantly adjusting her growth stock portfolio.
Recently, Wood raised her holdings in Adaptive Biotechnologies (NASDAQ:ADPT), Intellia Therapeutics (NASDAQ:NTLA), and Shopify (NYSE:SHOP). Here is a summary of these stocks, down 16% to 29% in 2024.
Shopify
One of Wood’s holdings, Shopify, was crucial to her successful year in 2024 but is currently experiencing a decline.
This year, the e-commerce platform’s shares are down 27% from their peak last year. A recent financial statement did not meet market expectations for future growth, resulting in a 19% decline in stock value despite a 23% revenue rise (29% without the divested logistics sector). Since then, analysts have lowered their price projections for Shopify.
Despite this, Shopify has continued to increase its market share and maintain high free-cash-flow margins. Analysts predict 21% revenue growth this year and 20% in 2025, with substantial profitability growth anticipated. Wood and others, including Goldman Sachs, believe the current sell-off is an overreaction and see it as a buying opportunity.
Intellia Therapeutics
Despite recently surpassing earnings estimates, Intellia Therapeutics, another key position in ARK’s portfolios, saw a 16% year-to-date decrease in its stock. The company specializes in developing CRISPR-based treatments, with one in the crucial third phase of clinical testing and another nearing that stage. Intellia’s substantial cash reserves provide a solid foundation for its continuous R&D. Wood’s investment reflects her confidence in gene-editing technologies; ARK currently holds $49,253 of Intellia’s shares.
Adaptive Biotechnologies
Wood also increased her role in the genetic sequencing technology company Adaptive Biotechnologies. Although its stock value fell by 50% this year, Adaptive recently released good financial results, including a higher revenue projection for its minimal residual disease (MRD) business and reduced losses. However, the departure of the CFO soured investor sentiment. Despite this, Wood remains confident in the company’s future, and ARK owns more than 7% of its stock.
These changes illustrate Wood strategically invests in high-potential growth firms despite market volatility.
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This article ARK Invest’s Cathie Wood Snags These 3 Bargains — Are They Right for Your Portfolio? originally appeared on Benzinga.com
Source: finance.yahoo.com