Cathie Wood’s ARK Invest ETFs (exchange-traded funds) made several notable portfolio adjustments on Monday, December 8, as revealed in daily fund disclosures. The prominent hedge fund manager continues to pour millions into Chinese technology giant Baidu (BIDU). Meanwhile, she is shifting focus on autonomous vehicles (AVs) by selling Tesla (TSLA) shares and buying into WeRide (WRD).
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Wood Invests Heavily in Chinese Stocks
The largest trade of the day was the purchase of 51,263 Baidu shares by the ARK Innovation ETF (ARKK) for about $6.67 million. Wood increased the fund’s BIDU holdings despite shares being up 3.5%. Citi analyst Alicia Yap raised her price target on BIDU from $166 to $181, implying 39.2% upside potential. Yap also opened a 90-day upside catalyst watch on the Chinese search giant, suggesting potential positive developments in the coming months.
In contrast, Wood leveraged the dip in WeRide shares to acquire another 17,326 shares for roughly $1.60 million through the ARK Autonomous Technology & Robotics ETF (ARKQ). WRD stock fell 2.8% yesterday after J.P. Morgan analyst Alex Yao cut his price target from $21 to $17, implying 84% upside potential. Yao kept his Buy rating but expects slower monetization growth in China until regulatory policies align with robotaxi technology. The purchase follows Wood’s purchase of about 233,549 WeRide shares last week.
Other purchases included 7,593 shares of GeneDX Holdings (WGS), 11,863 shares of Tempus AI (TEM), and 44,974 shares of Arcturus Therapeutics (ARCT).
Wood Dumps Tesla Shares
Wood continued trimming her position in Tesla, one of her favored electric vehicle (EV) stocks. The ARKK fund sold 2,100 TSLA shares for $923,118, although shares lost 3.4% yesterday. Morgan Stanley analyst Andrew Percoco downgraded TSLA from a Buy rating to Hold, since he believes that TSLA stock is trading closer to its fair valuation. However, he increased his price target from $410 to $425, implying 3.3% downside potential. On Friday also, the ETF sold $3.3 million worth of Tesla shares.
Moreover, the ARK Genomic Revolution ETF (ARKG) sold 108,578 shares of Adaptive Biotechnologies (ADPT), and other funds offloaded a total of 1,829 shares of Ibotta Inc. (IBTA).
Wood’s Strategic Portfolio Shuffle
Let’s see how some of these stocks perform using the TipRanks Stock Comparison Tool:
Currently, analysts have a Strong Buy consensus rating on WeRide stock, with a nearly 60% share price appreciation potential over the next twelve months. Wall Street remains cautious on Baidu and Tesla shares due to ongoing challenges.
