Cathie Wood Loads Up SpaceX Ahead of Earnings Debut, Buys CoreWeave, Tesla, Trims Shopify
**Ark Invest's founder is making a bold bet on the future of AI infrastructure and space exploration, using the market's recent volatility as a buying opportunity.**
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### "Genius or Madman": Wood Seizes Market Weakness
Cathie Wood, the founder and CEO of Ark Invest, has never been one to shy away from a contrarian bet. When the market panics, she often doubles down. That strategy was on full display in the final week of July as Wood executed a series of bold portfolio moves, loading up on her highest-conviction ideas ahead of what promises to be a pivotal earnings season.
The buying spree was concentrated around three major themes: **artificial intelligence infrastructure, autonomous driving, and space exploration**. Wood acquired shares of SpaceX (SPCX), which is set to report its first quarterly results as a public company . She also added to positions in the AI cloud computing provider CoreWeave (CRWV) and electric vehicle maker Tesla (TSLA), while trimming her stake in e-commerce platform Shopify (SHOP) .
All three of Wood's major buys—SpaceX, CoreWeave, and Tesla—have been hammered in recent weeks, presenting a classic "buy the dip" opportunity for the fund manager. "She is buying the names she already loves when they are weak, and selling stocks that are still hovering near highs to pay for them," one market observer noted .
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### SpaceX: The $26 Million Bet Ahead of Earnings
Wood's most significant purchase was SpaceX, with Ark Invest spending roughly **$26 million** to acquire more than 358,000 shares . The shares were spread across several funds, including the flagship ARK Innovation ETF (ARKK) and the ARK Space Exploration & Innovation ETF (ARKX) .
The purchase comes just ahead of SpaceX's highly anticipated first earnings report as a public company. The stock has been on a wild ride since its record-breaking IPO, trading nearly **50% below its post-IPO high** . While some analysts question the stock's astronomical valuation, Wood has been a vocal long-term bull. She believes SpaceX's reusable rockets and Starlink satellite network could generate "hundreds of billions of dollars in gross profit by 2030" .
Even after the decline, SpaceX stock still trades at a steep **price-to-sales ratio of around 77**, making it a risky bet for most investors . However, for Wood, the long-term potential outweighs the near-term volatility.
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### CoreWeave: The AI Stock No One Else Wants
Wood also doubled down on CoreWeave, a cloud computing specialist that builds AI data centers. Ark invested roughly **$15.5 million** in CoreWeave after the stock suffered a **15% decline** during the week .
CoreWeave's business is booming—it recently reported **114% year-over-year revenue growth** and a backlog approaching **$100 billion** . However, the company is also unprofitable, burdened by roughly **$35 billion in debt**, and faces the risk that its largest customer, Meta, could become a competitor .
Despite these red flags, Wood appears to view CoreWeave's infrastructure business as a key beneficiary of the generative AI boom, making it a bet on the long-term demand for computing power.
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### Tesla: Buying the 52-Week Low
Tesla remains a core holding for Wood, and she took advantage of the stock hitting a 52-week low to add to her position. Ark spent about **$14.3 million** on Tesla shares .
The EV maker's stock has been under pressure after the company reported a quarterly profit miss and signaled higher capital spending . However, Wood remains one of Tesla's biggest supporters, betting on the long-term potential of autonomous driving, the robotaxi network, and the Optimus robot .
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### Trimming Shopify and Other Stocks
To fund these purchases, Wood sold shares of several other companies. The largest sale was **Shopify (SHOP)**, with Ark reducing its position by roughly **$12.7 million** . Other sales included Snowflake (SNOW), Robinhood (HOOD), and several biotech stocks like 10x Genomics (TXG) .
These moves suggest a rotation from e-commerce and SaaS companies toward physical infrastructure, AI, and hard tech.
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### The Strategy: "Concentrate and Conquer"
The trading activity reveals a clear strategy: Wood is concentrating her portfolio into her highest-conviction ideas—AI infrastructure, space, and defense—while trimming positions in sectors she views as less promising in the current environment . The moves also reflect a "buy the dip" mentality, with Wood using recent market weakness to acquire shares of companies she believes have been unfairly punished.
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### Frequently Asked Questions
**Q: What is Cathie Wood's biggest recent buy?**
A: Ark Invest's largest recent purchase was SpaceX, with roughly $26 million added to the position .
**Q: Why is Wood buying CoreWeave despite its struggles?**
A: Wood appears to be betting on CoreWeave's long-term role in AI infrastructure. While the company has heavy debt and losses, it also boasts explosive revenue growth and a massive backlog .
**Q: Why did Wood trim Shopify?**
A: The sale likely reflects a portfolio rotation away from e-commerce and software, using the proceeds to buy into AI infrastructure and hard tech plays like SpaceX and CoreWeave .
**Q: Is it a good idea to follow Wood's trades?**
A: Wood's high-conviction bets can pay off over the long term, but they are highly volatile and risky. Investors should be aware that her flagship ETF has underperformed the S&P 500 in recent years .
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### Disclaimer
**IMPORTANT:** This article is for informational and educational purposes only and does not constitute financial, investment, or trading advice. The information contained herein is based on publicly available sources and reflects the author's understanding as of the publication date. Stock prices and company performance are subject to rapid change. Past performance is not indicative of future results. You should consult with a qualified financial advisor before making any investment decisions.
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