On Tuesday, Ark Invest, led by Cathie Wood, executed significant trades that underscore their ongoing bullish stance on semiconductor stocks amid a fervor surrounding artificial intelligence (AI) technologies.
Trade in Taiwan Semiconductor Manufacturing Company (TSM):
Ark’s ARK Next Generation Internet ETF (ARKW) acquired 3,316 shares of Taiwan Semiconductor Manufacturing Company (TSM). This move came amidst reports of TSMC’s plans to increase prices for its 3nm wafers by more than 5% and advanced packaging by 10% to 20% in the coming year. These price hikes are driven by strong demand from major clients like Apple and Nvidia, who have reportedly reserved all production capacity at TSMC until 2026. Ark Invest’s transaction in TSM on that day amounted to approximately $595,852, with TSM shares closing 1.4% higher at $179.69.
Trade in Advanced Micro Devices Inc (AMD):
Ark Invest also made a notable purchase in Advanced Micro Devices Inc (AMD), acquiring 3,710 shares through its ARKW fund. This transaction, valued at $573,677, occurred even as AMD was dealing with reports of a cybercriminal organization claiming possession of stolen AMD data. AMD responded by stating its collaboration with law enforcement and third-party partners to investigate the situation thoroughly. Despite these challenges, AMD’s shares closed down 2.4% at $154.63 during Tuesday’s regular trading session.
Additional Trades by Ark Invest:
Beyond semiconductor stocks, Ark made several other key trades across its various funds:
- ARKG bought shares of Tempus AI Inc (TEM) while selling shares of Nurix Therapeutics Inc (NRIX).
- ARKK acquired shares of PagerDuty Inc (PD).
- ARKQ sold shares of Velo3D Inc (VLD).
- ARKX divested shares of Iridium Communications Inc (IRDM).
These trades highlight Ark Invest’s dynamic approach to portfolio management, emphasizing sectors such as AI, semiconductor manufacturing, and healthcare technology. The firm’s continued interest in Nvidia, Apple suppliers like TSMC, and AMD underscores its confidence in the growth potential of these sectors amidst broader market movements.
Conclusion:
Ark Invest’s strategic purchases of TSM and AMD stocks reflect its ongoing bullish outlook on semiconductor companies amid technological advancements and rising demand for AI-related technologies. These moves not only position Ark’s portfolios to benefit from potential sectoral growth but also underscore its proactive approach in navigating market opportunities and risks.
This article was generated using Benzinga Neuro and edited for clarity and coherence.