Overview
- On June 3 ARK bought 22,528 shares of Broadcom following a roughly 20% two-session decline after the company’s earnings report.
- Broadcom reported $2.44 adjusted EPS and $22.19 billion in Q2 revenue and guided about $29.4 billion for the next quarter while its CEO reiterated an AI revenue target above $100 billion by fiscal 2027, which failed to soothe short-term investor concerns.
- ARK also bought 100,250 shares of Circle Internet Group and added Coinbase positions, while selling about 1.33 million Archer Aviation shares and trimming AMD holdings.
- Cathie Wood frames the trades around a view that AI-driven productivity will ease inflation and prompt Fed rate cuts, a stance she reiterated ahead of the June 17 policy decision as ARK faces roughly $489 million in net outflows over the past 12 months.
- The moves reflect ARK’s tactical, high-conviction style of buying price weakness in secular AI winners while reallocating exposure after recent volatility and multi-year underperformance versus the S&P 500.