Cathie Wood Sold Another $57M In Tesla And Raised Stake In This Chinese EV Rival On Tuesday

Zinger Key Points
  • Ark Invest sold shares worth $57.4 million in Tesla On Tuesday
  • Bought shares worth $1.68 million in BYD
  • Held shares worth $1.69 billion in Tesla ahead of Tuesday's trade

Cathie Wood-led Ark Investment Management on Tuesday booked some profit in Tesla Inc's TSLA stock and raised its exposure in BYD Co BYDDY, a Chinese electric vehicle maker backed by veteran investor Warren Buffett's Berkshire Hathaway Inc (NYSE: BRK-A) (NYSE: BRK-B). 

The popular investment firm sold 52,335 shares, estimated to be worth $57.54 million based on Tuesday's closing price, in Tesla.

A staunch EV supporter, Wood counts Tesla as its top holding and has said the stock will break through the $3,000 level by 2025. 

The popular stock picker last year booked a profit in Tesla after its shares rose, hitting a $1 trillion market valuation, on impressive third-quarter numbers and a large order from car rental firm Hertz Global Holdings Inc HTZ

Tesla shares rallied 8% higher on Monday after the company said it will seek investor approval to increase its number of shares to enable a stock split in the form of a dividend.

Tesla shares closed 0.7% higher at $1,099.6 on Tuesday. The stock is now down 8.3% year-to-date.

See Also: Tesla Bull Cathie Wood Increased Stake in This Warren Buffett-backed Chinese EV Maker On Monday

Ark Invest held 1.55 million shares, worth $1.69 billion, in Tesla, before Tuesday’s trade. It owns shares in Tesla via three of its actively traded exchange funds — the Ark Innovation ETF ARKK, the Ark Next Generation Internet ETF ARKW, and the Ark Autonomous Technology & Robotics ETF ARKQ.

The investment firm bought 30,520 shares, estimated to be worth $1.68 million, Shenzhen-based BYD. 

BYD's stock closed 0.4% higher at $55.2 a share on Tuesday. The stock is down 20.8% year-to-date.

BYD, short for Build Your Dreams and founded by Chinese billionaire Wang Chuanfu, competes with local rivals such as Nio Inc NIOXpeng Inc XPEV, and current global EV leader Tesla. 

Wood has been building positions in both Nio and Xpeng.

St. Petersburg, Florida-based Ark Invest held 446,334 shares, worth $24.53 million, in BYD before Tuesday's trade. It owns shares in the company via ARKQ.

This is Ark Invest’s fourth buy in BYD this year, a stock it has been accumulating since 2021.

Posted In: ARK Investment ManagementCathie WoodChinese EV Stockselectric vehiclesEVsLong IdeasNewsSector ETFsBroad U.S. Equity ETFsShort IdeasTrading IdeasETFs