In this article, we discuss the 5 biggest positions in the ARK Invest portfolio. If you want to read about some more stocks in the ARK Invest portfolio, go directly to Ark Invest Stock Portfolio: 16 Biggest Positions.
5. Zoom Video Communications, Inc. (NASDAQ:ZM)
Cathie Wood & Ark Invest’s Q3 2023 Investment: $712.19 million
Number of Hedge Fund Investors: 30
Zoom Video Communications, Inc. (NASDAQ:ZM) is a communications technology company headquartered in San Jose, California. After experiencing rapid growth during the pandemic, where it became a household name during lockdowns, Zoom Video Communications, Inc. (NASDAQ:ZM) is now concentrating on introducing several essential features for businesses. These include word processing capabilities and an increased utilization of artificial intelligence to enhance its flagship video conferencing service.
Zoom Video Communications, Inc. (NASDAQ:ZM) reported stellar quarterly revenue, surpassing expectations due to strong sales in the enterprise sector. The results underscore the company’s resilience in the competitive business collaboration software market. With a notable 3.2% increase in fiscal third-quarter sales, Zoom Video Communications, Inc. (NASDAQ:ZM) reached approximately $1.14 billion, exceeding the predicted $1.12 billion. Moreover, Zoom’s EPS stood at $1.29, a significant improvement over the consensus estimate of $1.08. The quarter also saw a robust 7.5% increase in enterprise revenue, reaching a substantial $660.60 million.
During this year’s June quarter, 30 out of the 910 hedge funds researched by Insider Monkey had bought the firm’s shares. Zoom Video Communications, Inc. (NASDAQ:ZM)’s biggest hedge fund investor in the same quarter was Catherine Wood’s ARK Investment Management due to its $712.19 million investment.
4. Roku, Inc. (NASDAQ:ROKU)
Cathie Wood & Ark Invest’s Q3 2023 Investment: $739.94 million
Number of Hedge Fund Investors: 31
Founded in 2002, Roku, Inc. (NASDAQ:ROKU) is an American public company specializing in streaming devices and smart TVs. It licenses its streaming technology to other manufacturers and operates an advertising business over its streaming network. As of 2023, Roku holds the position of the leading streaming TV network in the U.S. with 70 million viewers.
After digging through 910 hedge funds for their September quarter of 2023 shareholdings, Insider Monkey discovered that 31 had bought a stake in the company. During the same time period, leading the charge as Roku, Inc. (NASDAQ:ROKU)’s largest shareholder in our database was ARK Investment Management due to its $739.94 million investment. However, the same quarter saw Cathie Wood reduce her stake in the company by 13%.
3. Coinbase Global, Inc. (NASDAQ:COIN)
Cathie Wood & Ark Invest’s Q3 2023 Investment: $796.11 million
Number of Hedge Fund Investors: 27
Coinbase Global, Inc. (NASDAQ:COIN) functions as a financial infrastructure and technology company, catering to the cryptocurrency sector globally. Its offerings encompass a financial platform for consumers, a marketplace facilitating crypto asset transactions for institutions, and technology solutions enabling developers to create applications based on cryptocurrency and securely accept crypto payments.
On September 5, Coinbase Global, Inc. (NASDAQ:COIN) announced an expansion of the maximum amount of its outstanding 3.625% senior notes due in 2031 available for repurchase in its tender offer, increasing it from $150 million to $180 million.
As per Insider Monkey’s third quarter database, 27 hedge funds expressed a bullish stance on Coinbase Global, Inc. (NASDAQ:COIN), the same as the previous quarter. ARK Investment Management maintained the largest position in the company, holding 10.6 million shares valued at $796.11 million.
Here is what Miller Value Partners Opportunity Trust Fund has to say about Coinbase Global, Inc. (NASDAQ:COIN) in its Q2 2022 investor letter:
“Coinbase Global Inc. Ordinary Shares (NASDAQ:COIN) fell during the quarter as the crypto markets continued to suffer. While the company reported disappointing results, it committed to capping EBITDA losses at $500M even in the event of “a prolonged market downturn”. COIN’s ample liquidity ($6b in cash on hand) should enable them to survive a prolonged “crypto winter” and invest to strengthen the business in the downturn. While the crypto market is early in its adoption, Coinbase is focused on building the platform for crypto not only supporting trading, and cold storage, but moving into NFTs, staking, and crypto derivatives. We see tremendous upside potential for COIN over the next decade if they are able to successfully execute on their platform strategy.”
2. UiPath Inc. (NYSE:PATH)
Cathie Wood & Ark Invest’s Q3 2023 Investment: $809.75 million
Number of Hedge Fund Investors: 30
UiPath (NYSE:PATH) is an international software company specializing in robotic process automation (RPA) software. Established in Bucharest, Romania, it was founded by Daniel Dines and Marius Tîrcă.
UiPath Inc. (NYSE:PATH) witnessed a surge of over 25% on December 1 following the release of its third-quarter earnings report, which significantly surpassed analyst expectations. The quarter recorded revenue of $326 million and annual recurring revenue (ARR) of $1.38 billion, marking a 24% year-over-year increase. Despite a $45 million rise in total operating expenses compared to the same quarter last year, gross profit experienced a noteworthy uptick of $56 million.
At the close of Q3, 30 out of the 910 hedge funds surveyed by Insider Monkey had invested in the company. UiPath Inc. (NYSE:PATH)’s largest hedge fund shareholder in Q3 2023 was ARK Investment Management as it owned 48.2 million shares that are worth $809.75 million.
1. Tesla, Inc. (NASDAQ:TSLA)
Cathie Wood & Ark Invest’s Q3 2023 Investment: $1.02 billion
Number of Hedge Fund Investors: 81
Based in Austin, Texas, Tesla, Inc. (NASDAQ:TSLA) is a leading American multinational company specializing in electric vehicles and sustainable energy solutions. Renowned for its innovative electric car designs and manufacturing, Tesla also provides stationary battery energy storage solutions for both residential and grid-scale applications. The company offers a range of products and services, including solar panels, solar shingles, and related sustainable energy solutions.
In the third quarter of 2023, Tesla, Inc. (NASDAQ:TSLA) achieved a production milestone, manufacturing 430,488 vehicles and delivering over 435,000 units. Tesla’s global manufacturing presence includes six facilities, including its original plant in California and gigafactories in Nevada, New York, Shanghai, Texas, and Berlin.
Insider Monkey’s data for the third quarter reflects positive sentiment from 81 hedge funds towards Tesla (NASDAQ:TSLA), marking an increase from the 79 funds in the previous quarter. Catherine Wood emerged as a significant shareholder during the quarter, holding a stake valued at $1.02 billion.
You can also look at the 12 Most Undervalued Blockchain Stocks To Buy According To Hedge Funds and the 12 Best Healthcare Stocks For the Long-Term.
