Cathie Wood buys $529.7 million of popular new stock

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Cathie Wood buys 9.7 million of popular new stock


Cathie Wood, head of Ark Investment Management, has a history of buying stocks shortly after their IPOs.

In recent years, Wood’s Ark funds have invested in newly public companies such as Tempus AI (TEM), Coinbase (COIN), and CoreWeave (CRWV), reflecting her strategy of gaining early exposure to high-growth businesses in artificial intelligence, cryptocurrency, and cloud computing.

Now, Wood is making another IPO bet, buying more than $529 million worth of SpaceX stock.

In 2025, the flagship Ark Innovation ETF gained 35.49%, far outpacing the S&P 500’s return of 17.88% in the same period. But so far this year, Wood’s flagship Ark Innovation ETF (ARKK) is down 2.85%, while the S&P 500 surged 8.56%, Yahoo Finance data shows.

Wood gained a reputation after the Ark Innovation ETF delivered a 153% return in 2020. However, her style also brings painful losses in bearish markets, as seen in 2022, when the Ark Innovation ETF tumbled more than 60%.

Those swings have weighed on Wood’s long-term gains. As of June 12, the Ark Innovation ETF has delivered a five-year annualized return of -8.06%, while the S&P 500 has an annualized return of 11.84% over the same period, according to data from Morningstar.

Cathie Wood expects a “great acceleration” brought by technology developments

Wood focuses on high-tech companies across artificial intelligence, blockchain, biomedical technology, and robotics. She thinks these businesses have strong growth potential, though their volatility often causes fluctuations in the Ark’s funds.

According to Morningstar analyst Bella Albrecht, two of Wood’s Ark funds were among the worst-performing ETFs in the first quarter of 2026. The Ark Next Generation Internet ETF (ARKW) ranked second on the list, while the ARK Innovation ETF placed fifth.

Over the past 12 months through June 11, the ARK Innovation ETF saw roughly $294.27 million in net outflows.Getty Images
Over the past 12 months through June 11, the ARK Innovation ETF saw roughly $294.27 million in net outflows.Getty Images

From 2014 to 2024, the Ark Innovation ETF wiped out $7 billion in investor wealth, according to a March 2025 analysis by Morningstar’s analyst Amy Arnott. That made it the third-biggest wealth destroyer among mutual funds and ETFs in Arnott’s ranking. The analyst hasn’t updated her ranking.

More SpaceX:

Wood said on the June 5 episode of “In the Know” that she is closely watching June 17, when Kevin Warsh, the new Federal Reserve chair, announces the next interest rate decision.

“I do believe Kevin Warsh knows that interest rates have to come down, mortgage rates at least. And if inflation comes down as productivity is increasing, no matter how strong the economy is, I think he will cut rates,” Wood said.



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