Could Elon's New Device be Bigger than the iPhone?

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Cathie Wood's Ark Buys Roku, Palantir And $1M Worth Of Stock In This Healthcare Company

Shanthi Rexaline
April 10, 2024

Cathie Wood’s Ark Invest on Tuesday accumulated shares of a handful of companies spanning from technology to the healthcare sector.

Roku, Palantir Added: Ark through its Ark Innovation ETF (NYSE:ARKK) and Ark Next Generation Internet ETF (NYSE:ARKW), bought 12,647 shares of streaming device manufacturer Roku, Inc. (NASDAQ:ROKU). The purchase would have cost the firm $794,864 based on Roku’s closing price of $62.85.

Roku is the third biggest holding of Ark’s flagship ARKK exchange-traded fund. The fund holds about 9,018,582 Roku shares valued at $566.82 million, giving the stock a 7.68% weighting.

Ark’s ARK Space Exploration & Innovation ETF (CBOE: ARKX) bought 3,974 shares of Palantir Technologies, Inc. (NYSE:PLTR), an AI play, valued at $90,647. The purchase assumes importance because Ark has been continuously offloading shares of AI stalwart Nvidia Corp. (NASDAQ:NVDA).

See Also: Best ETFs To Buy Right Now

Teladoc In Favor: Ark continued to pile into telemedicine services company Teladoc Health, Inc. (NYSE:TDOC) for a second straight day. On Tuesday, through ARKK, ARKW, ARK Genomic Revolution ETF (CBOE: ARKG) and Ark Fintech Innovation ETF (NYSE:ARKF), the firm bought 68,122 Teladoc shares worth $1.03 million.

In a note previewing Teladoc’s upcoming first-quarter earnings, KeyBanc Capital Markets analyst Scott Schoenhaus said Wednesday he expects a mostly in-line quarter, but with notable weakness in the BetterHelp segment.

“We remain cautious given the steep profitability ramp built into FY guidance, plus decelerating momentum into the FY24 guidance in January,” the analyst said. The analyst isn’t confident about the longer term either, as he sees headwinds, including increasing competition, increasing costs, and pressures from more consumer-facing services at risk to forward estimates.

ARKK closed Tuesday’s session up 1.08% at $48.62, according to Benzinga Pro data. In premarket trading on Wednesday, the ETF added 0.33%.

Read Next: Tesla Back As Ark’s Darling: EV Giant Reclaims Top Spot In Cathie Wood’s Flagship Fund After Over 2 Years

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