5 Software Stocks to Sell Now According to Cathie Wood

In this article, we discuss 5 software stocks to sell now according to Cathie Wood. If you want to read our detailed analysis of these stocks, go directly to 10 Software Stocks to Sell Now According to Cathie Wood. 

5. Zillow Group, Inc. (NASDAQ:Z)

Number of Hedge Fund Holders: 61

Percentage Decrease in Stake in Q4: 91%  

Zillow Group, Inc. (NASDAQ:Z) is a digital real estate firm. Latest data shows that ARK owned over 1 million shares of Zillow Group, Inc. (NASDAQ:Z) at the end of December 2021 worth over $65 million. Wood had first bought a stake in the firm during the second quarter of 2018. 

Other hedge funds have also been selling Zillow Group, Inc. (NASDAQ:Z) in recent months. At the end of the fourth quarter of 2021, 61 hedge funds in the database of Insider Monkey held stakes worth $2.2 billion in Zillow Group, Inc. (NASDAQ:Z), compared to 67 in the preceding quarter worth $4.2 billion. 

In its Q1 2021 investor letter, Baron Funds, an asset management firm, highlighted a few stocks and Zillow Group, Inc. (NASDAQ:Z) was one of them. Here is what the fund said:

“Zillow Group, Inc. operates leading U.S. real estate sites, a mortgage marketplace, and the Zillow Offers home-buying business. Shares fell during the quarter in concert with the broader rotation out of technology-based stocks despite the company’s continued inflection in mortgages revenue, strong profitability in its core business, and a positive real estate outlook as Zillow builds out its iBuying ecosystem. In our view, Zillow is a leader in the large online real estate advertising market with substantial upside from mortgages and Offers, and we remain investors.”