On Tuesday, Cathie Wood-led Ark Invest made a notable move by offloading a significant number of shares in Tesla Inc (NASDAQ:TSLA). This decision comes amidst a surge in Tesla's stock, fueled by reports of the incoming administration's plans to ease restrictions on self-driving vehicles.
The TSLA Trade
Ark Invest's decision to sell Tesla shares coincides with a period of significant growth for the electric vehicle giant. The company's stock has been on an upward trajectory, largely due to reports suggesting that President-elect Donald Trump's administration intends to prioritize a federal framework for autonomous vehicles. Such a move could potentially simplify the operation of self-driving cars, providing a significant boost to companies like Tesla.
According to data provided, Ark Invest sold 44,520 shares of Tesla on Tuesday. Given the closing price of $346 per share, the total value of the trade amounts to approximately $15.4 million. The trade was made through the ARK Innovation ETF (NYSE:ARKK).
Meanwhile, CNBC host Jim Cramer supports owning Tesla stock but dismisses reports of Trump easing self-driving regulations as a "bad reason" to buy. He highlights Tesla's strength as a tech company with high valuation potential beyond regulatory changes.
Other Key Trades:
- Ark purchased Intellia Therapeutics Inc. (NTLA) and Tempus AI Inc. (TEM) stock on Tuesday.
- The firm sold stock of Rocket Lab USA Inc. (RKLB) and of Markforged Holding Corp. (MKFG).
- Ark also sold Senti Biosciences Inc (SNTI) and Nurix Therapeutics Inc (NRIX) stock.
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