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Cathie Wood's Ark Invest Makes Nvidia Re-Entry After 7 Months With $44M Buy

Published 27/05/2022, 07:09
Updated 27/05/2022, 07:40
© Reuters Cathie Wood's Ark Invest Makes Nvidia Re-Entry After 7 Months With $44M Buy

Popular stock picker Cathie Wood’s Ark Invest on Thursday initiated a new exposure in Nvidia Inc (NASDAQ: NVDA) just seven months after it had exited all of its stake in the graphics chipmaker.

St. Petersburg, California-based Ark Invest scooped up 245,286 shares, estimated to be worth $43.78 million, in Nvidia on Thursday when the stock closed 5.2% higher and brought its year's losses to 41%.

Semiconductor stocks had a bullish run during the COVID-19 pandemic as the health crisis led to a surge in demand for gaming and entertainment in locked-down homes.

Nvidia shares rose nearly five-fold between 2020 and the end of last year.

Ark Invest in November completely exited its position in the company, booking a profit.

See Also: Cathie Wood Gets Entirely Out Of Nvidia, Trims PayPal (NASDAQ:PYPL), Pinterest (NYSE:PINS) Stakes And Buys These Stocks Instead

Ark Invest bought shares in Nvidia via three of its six actively traded exchange funds: Ark Innovation ETF (NYSE: ARKK), Ark Next Generation Internet ETF (NYSE: ARKW) and Ark Fintech Innovation ETF (NYSE: ARKF).

Santa Clara, California-based Nvidia on Wednesday reported a 46% jump in first-quarter revenue to $8.29 billion and a quarterly adjusted earnings of $1.36 per share, a jump of 49% year-on-year.

Nvidia’s data center unit’s quarterly revenue surpassed that of its gaming business for the first time in seven quarters.

See Also: Nvidia's Data Center Sales Zip Past Gaming Business For The First Time In 7 Quarters

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