Cathie Wood Goes Bargain Hunting: 3 Stocks She Just Bought

Cathie Wood executed one of her busiest trading days on Monday’s market sell-off, adding to roughly two dozen Ark positions—notably Amazon, Tesla and Tempus AI—as she doubled down on beaten-down growth names. Amazon is down about 20% from its recent high after a Q2 report that beat EPS estimates but slightly missed revenue and issued softer third-quarter sales and operating-income guidance, leaving revenue growth slowing and shares trading at about 34x this year’s EPS; Tesla, Ark Innovation’s largest holding at ~14% of assets, has slid ~20% YTD amid weak auto sales, a 5% drop in deliveries and just 2% revenue growth; Tempus has been volatile since its June IPO and trades near its debut price ahead of first post-IPO results. Wood’s buy-the-dip moves reinforce Ark’s concentrated exposure to high-growth, currently pressured names—a positioning that continues to drive ARKK performance given Tesla’s outsized weight and leaves outcomes dependent on whether fundamental recovery follows the share-price weakness.

Analysis

Cathie Wood executed heavy buy-the-dip trading on Monday, adding to roughly two dozen Ark positions including Amazon (AMZN), Tesla (TSLA) and Tempus (TEM) as the market sold off and the listed names fell 2%–4% that day. Her activity highlights Ark’s continued concentrated exposure to high-growth names even as those names trade well off recent highs.

Amazon declined about 4% Monday and is roughly 20% below its all-time high after Q2 results showed EPS of $1.26 versus $1.03 expected while revenue of $148 billion rose 10% and narrowly missed estimates; AWS grew 19% but company guidance (net sales +8% to +11% for Q3 and slowing operating-income growth) and a decelerating top line leave shares trading near 34x this year’s projected EPS. These metrics suggest operational resilience in high-margin AWS but validate investor concern about slowing revenue growth and stretched e-commerce multiples.

Tesla, Ark Innovation’s largest holding at ~14% of assets, is down ~20% YTD after revenue rose only 2% (auto sales -7%, deliveries -5%) with lower ASPs pressuring profitability, underscoring execution and demand risk. Tempus is highly volatile post-IPO (trading between $22.89 and $47.09, now near $37) and faces a near-term fundamental test with its first post-IPO quarter due after Tuesday’s close, leaving Ark’s performance dependent on whether fundamentals recover alongside these price moves.

Key Decisions for Investors

• Reassess exposure to ARKK and concentrated Tesla risk and consider trimming or hedging single-stock TSLA exposure given its ~14% weight and 20% YTD decline
• Monitor Amazon’s Q3 sales guidance, operating-income trajectory and AWS growth before adding materially; consider opportunistic purchases only if revenue trends stabilize versus current 34x forward multiple
• Treat Tempus as a high-volatility, event-driven trade—prefer waiting for the first post-IPO financials or allocate only a small, speculative position size to manage binary risk