Cathie Wood Invests $3.5 Million in Robinhood Stock
On Sept. 4, Cathie Wood's Ark Innovation ETF (ARKK) purchased 28,589 shares of Robinhood Markets Inc (HOOD), valued at approximately $3.5 million based on the closing price of $122.11 per share. This move marks a reversal from recent sales as HOOD rebounds after hitting second-quarter lows. Wood has historically favored high-growth tech stocks, particularly in AI and blockchain sectors. Wood's flagship fund delivered strong returns during the pandemic but faced significant losses in 2022 amid market volatility. As of Sept. 4, ARKK had a five-year annualized return of -7.02%, lagging behind the S&P 500’s 11.22%. Despite this, Wood remains bullish on AI's potential to drive corporate profits and economic growth. Robinhood has seen its stock price closely tied to Bitcoin movements due to its crypto trading platform. The company reported a rise in transaction-based revenue but faced declines in crypto-related income during the second quarter.
