- Ark Invest is buying Tesla stock for the first time in eight months, according to its daily trade report.
- Cathie Wood's flagship fund purchased about $30 million of Tesla stock on Thursday after a 12% post-earnings decline.
- Tesla remains Ark Invest's top holdings across its funds, but Teledoc is in a close second place.
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Cathie Wood's Ark Invest bought Tesla stock for the first time in eight months on Thursday, according to its daily trade report.
Ark Invest purchased 27,799 shares of Tesla in its flagship ARKK ETF, and purchased another 5,683 shares in its ARKW Next Generation Internet ETF. That comes after Ark consistently sold Tesla for months, as it used the proceeds to buy other beaten down stocks in its portfolio like Teladoc and Roku.
The innovation-focused investment manager likely saw a bargain after Tesla's post-earnings decline of about 12% on Thursday. The drop wiped out $109 billion in Tesla's market value and brought the stock to just above its rising 200-day moving average.
While Tesla beat analyst expectations and guided for continued growth, the EV manufacturer said it would not introduce new models in 2022, such as its highly anticipated Roadster, Cybertruck, and Semi truck, and that it currently has no plans to develop a $25,000 electric vehicle.
But those product delays aren't fazing Wood, as she sees Tesla still outpacing the competition, according to a recent interview with ETFTrends.
"The traditional auto manufacturers really didn't start thinking about electric vehicles seriously until I'd say the last two years. And now Tesla is running circles around them, and we believe will continue to run circles around them," Wood said.
Tesla remains Ark Invest's top position, with a combined market value of $1.23 billion across all of Ark's ETFs, according to data compiled by Cathie's Ark. Right behind Tesla is Teladoc, with Ark holding $1.20 billion of the stock.
A turnaround in Tesla stock could help drive a rebound in Ark Invest's performance, which has been pummeled amid a more hawkish Fed that is focused on raising interest rates to combat inflation. Ark Invest's flagship ETF is down 56% from its record high, and was up about 3% in Friday trades.
