Cathie Wood, the founder of ARK Invest, is known for taking early positions in new technologies and often investing ahead of broader market trends. Now, her latest trades point to a shift within artificial intelligence (AI). While chipmakers led the AI rally through 2025, Wood seems to be turning her attention to software. Recent filings show she added to Palantir Technologies (PLTR) while cutting her position in Advanced Micro Devices (AMD).
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So, what’s behind this move?
Palantir Stock
Palantir Technologies has been one of the biggest winners in the AI space. The company builds data analytics platforms used by governments and businesses to turn complex data into actionable insights.
Its latest results highlight that strength. Revenue jumped 70% year-over-year to $1.407 billion, beating expectations, while adjusted EPS of $0.25 also came in ahead of estimates. Looking ahead, for the full year 2026, the company raised its revenue guide to between $7.182 and $7.198 billion, indicating a strong 61% growth rate.
Recently, however, the stock came under pressure after Michael Burry said its valuation looks too high and could be in “bubble” territory. Following his comments, the shares fell more than 5%. Wood saw that differently. She bought 85,485 shares worth about $11.15 million, using the drop in the stock price to increase her position.
Looking ahead, PLTR will report its Q1 FY26 results on May 11. Wall Street expects Palantir to report EPS of $0.28 on revenues of $1.54 billion.
On TipRanks, Wall Street consensus currently sits at a Moderate Buy rating, with some analysts encouraged by growth, while others remain cautious on valuation. Following the recent volatility, the average PLTR stock price target remains near $194.61, implying an upside potential of roughly 52%.
AMD Stock
On the other side is Advanced Micro Devices, one of the key players powering the AI boom. The stock has gained 15% year-to-date, driven by strong demand for AI chips and robust data center growth.
The company has been delivering strong numbers. In its latest quarter, revenue rose 34.1% year-over-year to $10.27 billion, while adjusted EPS of $1.53 came in above expectations.
Despite that, Wood has been reducing her exposure. ARK sold 44,446 shares worth about $10.52 million, even as demand for AI chips remains strong. The move suggests she may be locking in gains ahead of the company’s next earnings report on May 5.
Looking ahead, Wall Street expects AMD to report EPS of $1.27, reflecting a 32% year-over-year growth. Revenue is expected to come in at $9.85 billion, up 32% from the year-ago quarter.
On TipRanks, AMD stock has a Moderate Buy consensus rating based on 21 Buys and eight Holds assigned in the last three months. At $284.68, the average AMD price target implies a 16.18% upside potential.
Which Is the Better AI Stock, According to Analysts?
We used TipRanks’ Comparison Tool to see which stock analysts favor. Based on current estimates, Palantir offers the higher upside potential at about 52%, compared with roughly 16% for AMD.
Investors can dig deeper to decide which AI stock best fits their strategy. Below is a screenshot for reference.
