Cathie Wood-owned Ark Invest began accumulating shares of Tesla, Inc. (NASDAQ: TSLA) this week, reversing from being a seller for consecutive months.
What Happened: The string of stock sales reduced Tesla to being the second ranker in Ark's flagship fund – the ARK Innovation ETF (NYSE: ARKK) in the week ending May 20.
Ark Invest holds Tesla in two of its ETFs – the ARKK and the ARK Next Generation Internet ETF (NYSE: ARKW). The Wood-run fund snapped up Tesla shares in the first three trading sessions of the week. In the run-up to the current week, the stock had posted weekly declines for four straight weeks.
From the start of the year through May 20, Tesla stock had shed about 37%. Ark apparently began buying the dip. Notwithstanding the purchases, Tesla is still second in terms of ARKK's weighting, behind Zoom Video Communications, Inc. (NASDAQ: ZM). The former's weighting is 8.63% compared to Zoom's 9.50%.
Tesla's weighting in the ARKW is 7.19% and the stock is ranked fourth behind Zoom Video, Roku, Inc. (NASDAQ: ROKU) and Grayscale Bitcoin Trust (OTC: GBTC).
Related Link: Tesla Stock Gets Another Price Target (NYSE:TGT) Cut — This Time From Jefferies
Here're the details of Ark's Tesla purchases in the week ended May 27:
Cumulatively, Ark bought 43,282 Tesla shares through both the funds during the week, with the cumulative value of the purchases at $27.96 million.
Tesla stock closed Friday's session 7.33% higher at $759.63, according to Benzinga Pro.
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