Cathie Wood Shifts Portfolio, Sells AMD Shares to Buy Nvidia
On August 28, Cathie Wood's ARK Invest sold $72.8 million worth of Advanced Micro Devices (AMD) shares and simultaneously purchased $53 million in NVIDIA Corporation (NVDA). The trades reflect a strategic reallocation within the AI chip sector rather than an outright exit from AMD. NVIDIA reported strong quarterly results, with data-center revenue reaching $89 billion due to its robust software ecosystem and system sales. In contrast, while AMD is growing rapidly—data-center revenue up 107% in Q2—it still faces challenges converting product momentum into lasting market share gains against NVIDIA's dominant position. Despite the shift, both companies remain strong investment options with increasing hedge fund ownership for each stock. ARK’s move highlights a preference for NVIDIA’s clearer execution path but does not signal AMD as an underperformer; rather it underscores differing growth strategies and risk profiles in the AI hardware market.
Topics: AI chips AMD ARK Invest Cathie Wood NVIDIA stock trading