On Wednesday, Cathie Wood-led Ark Invest made headlines by selling nearly $6.3 million worth of Tesla Inc TSLA shares, a move that comes amid Tesla’s rebound ahead of its Q3 results announcement.
The Tesla Trade
Ark Invest sold 25,908 shares of the Elon Musk-led automaker, marking a continuation of the firm’s selling spree of Tesla stock. The sale, made through Ark’s flagship ARK Innovation ETF ARKK, was valued at $6.29 million based on Tesla’s closing price of $242.68 on Wednesday. It should be noted that Tesla continues to make up for ARKK’s top holdings and has a 9.97% weight in the ETF as of the time of publishing.
The sale followed Tesla’s Q3 earnings report, where the EV giant reported revenue of $23.35 billion, missing the Street consensus estimate. The company attributed the fluctuations in revenue to growth in vehicle deliveries and other business lines, negatively impacted by a lower average selling price and foreign exchange impact.
Tesla’s Q3 earnings highlights also included an EPS miss and the anticipation of the Cybertruck launch set for November 2023.
Other Key Trades:
These trades reflect Ark Invest’s dynamic approach to managing their ETFs, constantly adjusting their holdings to optimize for growth and innovation. Wood’s confidence in Tesla, underscored by her perspective on the company’s autonomous and robotaxi potential, anticipates significant revenue and margin expansion ahead for the EV maker.
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