Ace hedge fund manager Cathie Wood continues buying the dip in Tesla (TSLA) as investors punish shares for missing Q1 2026 delivery estimates. The ARK Invest ETFs (exchange-traded funds) made notable portfolio moves on Wednesday, April 8, as shown in daily fund disclosures.
Claim 30% Off TipRanks
Trade TSLA with leverageThe ARK Autonomous Technology & Robotics ETF (ARKQ) bought 33,210 TSLA shares for roughly $11.40 million. This follows $16.4 million in purchases over the prior two days. So far this week, Wood has purchased $27.8 million in the electric vehicle (EV) giant.
Why Does Wood Love Tesla Stock?
Wood has been one of the earliest and long-time supporters of Tesla. The ARK funds focus on disruptive tech like AI, robotics, cryptocurrency, and autonomous driving.
TSLA shares have fallen 23.7% year-to-date amid cooling EV demand, missed expectations, phasing out legacy Model X and S, SpaceX-Tesla merger rumors, and CEO Elon Musk’s divided focus across ventures. Not all analysts are excited and confident about Tesla’s pivot to an AI and robotics company.
Nonetheless, Wood sees Tesla hitting a trillion-dollar market cap on the AI and autonomy wave. She is optimistic that Tesla will transform into a software-driven platform for self-driving services. This will help boost its shrinking gross margins toward 70%-80% levels, aligning with the overall tech sector.
Meanwhile, Tesla is evolving into an AI chip manufacturer via its massive Terafab project in Austin, Texas. Terafab is a huge fabrication plant, targeting 1 terawatt of annual capacity. Interestingly, Intel (INTC) is also joining the project alongside SpaceX, xAI, and Tesla. Intel’s expertise in chip design, fabrication, and packaging will ease fab construction and avoid years of delays.
Is TSLA Stock a Buy?
On TipRanks, TSLA has a Hold consensus rating based on 13 Buys, 11 Holds, and eight Sell ratings. The average Tesla price target of $393.97 implies 14.8% upside potential from current levels.
