Cathie Wood Picks Up $13M In Tesla Shares As Investors React Negatively To Q3 Earnings

Cathie Wood-led ARK Investment Management has bought over 66,000 shares of Tesla Inc TSLA at a valuation of over $13 million, based on Thursdays closing price, via the companys flagship ARK Innovation ETF ARKK .

Shares of Tesla and Zoom Video Communications Inc ZM appear to be in a tight race for the top spot in the funds holdings. Currently, Tesla is the top holding in the ARKK fund, with a weight of 9.42% in the portfolio, according to the latest data on the companys website.

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Shares in theElon Musk-led company slumped 6.6% to close at $207.28 on Thursday, according todata from Benzinga Pro, after its revenue came in lower than Wall Street expectations.

Wood has been a big supporter of Tesla, which was a top contributor to ARK Innovation ETF'sandARK Next Generation Internet ETF's ARKW third-quarter performance. Wood in her quarterly commentary discussed how companies focused on disruptive innovationhave the potential to surprise on the upside with significant exponential growth trajectories.

Traditional auto analysts deemed Tesla as doomed to failure: they did not understand that Tesla was a robotics, energy storage, and artificial intelligence company, not an auto company, Wood stated.

The veteran investor began picking up Tesla stock in the first week of October after a pause of over three months, purchasing sharesthrough two different funds at an estimated price of $32 million.

NVIDIA Sale: The ARK Innovation ETF sold over 59,000 shares of chipmaker NVIDIA Corporation NVDA valued at over $7 million, based on Thursdays closing price. On Tuesday, Deutsche Bank maintained its "hold" rating on the stock while reducing the price target from $165 to $140, according to the Benzinga Analyst Stock Ratings tool.

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