In this article, we discuss the 10 best stocks under $11 in Cathie Wood’s portfolio based on Q2 holdings of the fund.
Catherine Duddy Wood is the CEO and CIO of the US-based ARK Investment Management. She established the hedge fund in 2014. The hedge fund had $53.74 billion in assets under management as of June 2021.
Some of the notable stocks in Cathie Wood’s 13F portfolio include Amazon.com, Inc. (NASDAQ:AMZN), Microsoft Corporation (NASDAQ:MSFT), and Alphabet Inc. (NASDAQ:GOOG).
In this article, our focus would be on some of the cheap stocks in Wood’s Q2 portfolio.
Cathie Wood of ARK Investment Management
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With this background in mind, let’s start our list of 10 best stocks under $11 in Cathie Wood’s portfolio. We used Wood’s 13F portfolio for Q2 2021 for this analysis.
Best Stocks Under $11 in Cathie Wood’s Portfolio
10. Markforged Holding Corporation (NYSE:MKFG)
ARK Investment Management Stake Value: $21,362,000
Percentage of ARK Investment Management’s 13F Portfolio: 0.03%
Number of Hedge Fund Holders: N/A
Price per Share as of Nov. 5, 2021: $7.21
Hedge fund manager Cathie Wood is one of Markforged Holding Corporation’s (NYSE:MKFG) largest investors. ARK Investment Management holds more than 2.14 million shares of the company, worth about $21.36 million. Markforged Holding Corporation, a designer, developer, and manufacturer of industrial 3D printers, ranks tenth on the list of best stocks under $11 in Cathie Wood’s portfolio.
In August, Stifel analyst Noelle Dilts initiated coverage of Markforged, rating the stock as “Buy” and gave a price target of $13.50.
9. Surface Oncology, Inc. (NASDAQ:SURF)
ARK Investment Management Stake Value: $33,410,000
Percentage of ARK Investment Management’s 13F Portfolio: 0.06%
Number of Hedge Fund Holders: 10
Price per Share as of Nov. 5, 2021: $7.52
Surface Oncology, Inc. (NASDAQ:SURF) is a clinical-stage immuno-oncology firm based in the United States that develops cancer medicines. ARK Investment Management holds a $33.41 million stake in the firm.
The second quarter of 2021 earnings report for Surface Oncology, Inc. missed the analyst expectations. Earnings per share came in at -$0.44 below the estimates by $0.09. In addition, revenue over the period was $0.51 million, missing the analysts’ expectations by $2.45 million.
At the end of the second quarter of 2021, 10 hedge funds in the database of Insider Monkey held stakes worth $58.79 million in Surface Oncology, Inc., down from 15 the preceding quarter worth $54.75 million.
8. Desktop Metal, Inc. (NYSE:DM)
ARK Investment Management Stake Value: $21,483,000
Percentage of ARK Investment Management’s 13F Portfolio: 0.03%
Number of Hedge Fund Holders: 27
Price per Share as of Nov. 5, 2021: $8.61
Desktop Metal, Inc. (NYSE:DM) is a company that develops and distributes additive manufacturing solutions for engineers, designers, and manufacturers.
On October 7, Oppenheimer analyst Martin Yang initiated coverage of Desktop Metal with a “Perform” rating. In the second quarter of 2021, the company posted an EPS of -$0.17 missing the consensus by $0.07. In addition, revenue over the period was $19 million below the estimates by $0.18 million.
Cathie Wood’s ARK Investment Management increased its hold in Desktop Metal, Inc. by 82% in the second quarter, ending the period with 1.87 million company shares. The fund has a $21.48 million stake in the company. Overall, 27 hedge funds in Insider Monkey’s database of 873 funds are bullish on the company.
Like Amazon.com, Inc., Microsoft Corporation, and Alphabet Inc., Desktop Metal, Inc. is one of the stocks to buy according to Cathie Wood.
7. Gilat Satellite Networks Ltd. (NASDAQ:GILT)
ARK Investment Management Stake Value: $5,659,000
Percentage of ARK Investment Management’s 13F Portfolio: 0.01%
Number of Hedge Fund Holders: 7
Price per Share as of Nov. 5, 2021: $8.45
Gilat Satellite Networks Ltd. (NASDAQ:GILT), a provider of satellite-based broadband communication services and solutions, is placed seventh on the list of 10 best stocks under $11 in Cathie Wood’s portfolio. The company enhanced the 4G network of a Tier-1 Mobile Network Operator in North America for disaster recovery and ongoing operational business demands.
On the other hand, Cathie Wood has trimmed the stake in Gilat Satellite Networks Ltd. by 16% in the second quarter of 2021. She now holds 555,902 shares of the company worth $5.66 million. The company’s second-quarter revenue was $56.9 million, up 48.6% YoY.
Earlier in October, Gilat Satellite Networks Ltd. inked two-year agreements worth over $16 million to operate regional transport networks in Peru to provide broadband services. However, as of Q2 2021, 7 hedge funds have positions in the company, compared with 8 in the previous quarter.
6. Quantum-Si incorporated (NASDAQ:QSI)
ARK Investment Management Stake Value: $49,632,000
Percentage of ARK Investment Management’s 13F Portfolio: 0.09%
Number of Hedge Fund Holders: 19
Price per Share as of Nov. 5, 2021: $7.90
Quantum-Si provides next-generation protein sequencing and genomics technology for the healthcare industry and it stands sixth on the list of 10 best stocks under $11 in Cathie Wood’s portfolio.
In the second quarter of 2021, the hedge fund chaired by Cathie Wood bought close to 4.05 million shares in Quantum-Si incorporated (NASDAQ:QSI) worth over $49.63 million. It is the biggest shareholder of the company. On October 20, Canaccord analyst Kyle Mikson initiated coverage of Quantum-Si with a “Buy” rating and gave a price target of $13. Quantum-Si incorporated was in 19 hedge funds’ portfolios at the end of the second quarter of 2021.
Amazon.com, Inc., Microsoft Corporation, and Alphabet Inc. are some of the stocks in Cathie Wood’s 13F portfolio, just like Quantum-Si incorporated (NASDAQ:QSI).
5. Sema4 Holdings Corp. (NASDAQ:SMFR)
ARK Investment Management Stake Value: $64,214,000
Percentage of ARK Investment Management’s 13F Portfolio: 0.11%
Number of Hedge Fund Holders: N/A
Price per Share as of Nov. 5, 2021: $8.56
Sema4 Holdings Corp. (NASDAQ:SMFR) is an AI-driven genomic and clinical data intelligence platform company. ARK Investment Management holds more than 4.58 million shares in the firm worth over $64.21 million, making it the company’s most significant stakeholder.
On October 8, BTIG analyst Mark Massaro initiated coverage of Sema4 Holdings, rating the stock as “Buy” and gave a price objective of $12 price.
4. HUYA Inc. (NYSE:HUYA)
ARK Investment Management Stake Value: $56,203,000
Percentage of ARK Investment Management’s 13F Portfolio: 0.1%
Number of Hedge Fund Holders: 11
Price per Share as of Nov. 5, 2021: $8.38
Catherine D. Wood’s ARK Investment Management fund is one of HUYA Inc.’s (NYSE:HUYA) most significant stakeholder.
On October 28, Goldman Sachs analyst Piyush Mubayi reiterated coverage of HUYA, with a “Sell” rating and gave a price target of $9.
3. Enlivex Therapeutics Ltd. (NASDAQ:ENLV)
ARK Investment Management Stake Value: $4,582,000
Percentage of ARK Investment Management’s 13F Portfolio: 0.01%
Number of Hedge Fund Holders: 2
Price per Share as of Nov. 5, 2021: $8.72
Enlivex Therapeutics Ltd. (NASDAQ:ENLV), a clinical-stage immunotherapy startup, has obtained notice of authorization from the Israeli Patent Office for a new patent application covering the company’s immunotherapy product candidate Allocetra.
In the second quarter, Cathie Wood’s ARK Investment Management raised its position in Enlivex Therapeutics Ltd. by 9% to 514,807 shares, accounting for just over 0.01% of the overall portfolio. At the end of the second quarter of 2021, 2 hedge funds in the database of Insider Monkey held stakes worth $6.32 million in Enlivex Therapeutics Ltd., the same as in the preceding quarter worth $8.50 million.
2. Joby Aviation, Inc. (NYSE:JOBY)
ARK Investment Management Stake Value: $11,885,000
Percentage of ARK Investment Management’s 13F Portfolio: 0.02%
Number of Hedge Fund Holders: N/A
Price per Share as of Nov. 5, 2021: $9.96
In the second quarter, Cathie Wood increased her stake in aircraft manufacturing company Joby Aviation, Inc. (NYSE:JOBY) by 2547%, and her 0.02% stake in the company is now worth about $11.89 million.
In September, Morgan Stanley analyst Kristine Liwag initiated coverage of Joby Aviation, rating the stock as an “Overweight” and gave a price target of $16.
Among the hedge funds being tracked by Insider Monkey, 683 Capital Partners is a leading shareholder in Joby Aviation, Inc., with 5.44 million shares worth more than $54.34 million.
1. Blade Air Mobility, Inc. (NASDAQ:BLDE)
ARK Investment Management Stake Value: $41,299,000
Percentage of ARK Investment Management’s 13F Portfolio: 0.07%
Number of Hedge Fund Holders: 11
Price per Share as of Nov. 5, 2021: $10.10
Blade Air Mobility, Inc. (NASDAQ:BLDE) is a worldwide air mobility platform powered by technology. ARK Investment Management added this stock to its portfolio in the second quarter by buying 3.93 million shares. In addition, blade Air Mobility paid $23 million for Trinity Air Medical, with the possibility of further contingent consideration dependent on the accomplishment of specific EBITDA growth objectives over the next three years.
On September 27, Oppenheimer analyst Jason Helfstein initiated coverage of Blade Air Mobility, rating it as “Outperform,” and gave a price target of $14.
At the end of the second quarter of 2021, 11 hedge funds in the database of Insider Monkey held stakes worth $141.75 million in Blade Air Mobility, up from 1 in the previous quarter worth $ 395,000.
You can also take a peek at 10 Best Stocks Under $10 According to Billionaire Daniel Och’s OZ Management and 10 Best Stocks to Buy According to Peter Lewis’ LFL Advisers
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This article is originally published at Insider Monkey.
