From betting platforms to space launches, ARK Invest’s latest moves show Cathie Wood balancing bold innovation plays with tactical rebalancing.
Cathie Wood’s Innovation Strategy Still in High Gear
Cathie Wood, the high-conviction CEO of ARK Invest, remains one of the most followed investors on Wall Street. Her funds are known for making disruptive, forward-looking bets across tech, biotech, AI, aerospace, and digital platforms.
On Tuesday, October 14, Wood’s ARK funds were active again, trading names across her flagship ARK Innovation ETF (ARKK) and ARK Space Exploration ETF (ARKX). Her moves reflect both continued faith in long-term themes and short-term rebalancing strategies.
ARKK Loads Up on DraftKings (DKNG)
The most notable buy came in DraftKings (DKNG), where ARKK purchased 236,289 shares.
- DraftKings is a leader in the U.S. online sports betting and fantasy sports space.
- Despite a recent dip—shares fell -7.47% to $33.58—Wood appears to be buying the dip, signaling conviction in DKNG’s long-term monetization and market expansion potential.
- The stock remains a poster child for digital wagering adoption as more U.S. states legalize sports betting.
ARKK Trims Roblox (RBLX) and Brera Holdings (SLMT)
On the sell side, ARKK reduced exposure to two entertainment-related names:
- Roblox (RBLX): Sold 30,276 shares, even as the stock surged +117.95% YTD to $128.24.
- The metaverse gaming platform remains a leader in immersive digital experiences and youth engagement.
- The sale likely reflects portfolio rebalancing after major gains—not a shift in conviction.
- Brera Holdings (SLMT): Offloaded 23,659 shares of this micro-cap sports media and management firm.
- SLMT has seen volatile swings, up nearly +97.71% recently, but still trades on thin volume.
- The trim suggests caution around micro-cap volatility despite near-term spikes.
ARKX Dips into Defense and Automation Plays
Within ARKX, Cathie Wood made several smaller, tech-aligned buys:
- L3Harris Technologies (LHX): Added 8,901 shares.
- A top-tier defense contractor and aerospace firm, LHX fits into ARKX’s vision through its focus on communications, space sensors, and autonomous platforms.
- Shares are up +43.62% YTD to $293.42.
- Deere & Co. (DE): Bought 2,966 shares.
- While traditionally seen as an agricultural company, Deere’s investment in autonomous tractors and AI-driven equipment makes it a compelling “agri-tech” innovation play.
- Shares rose +6.08% to $439.11.
- DoorDash (DASH): Picked up 4,823 shares, betting on its logistics expansion beyond food delivery.
- DASH is up +60.28% YTD and pushing into grocery, convenience, and on-demand logistics—making it a broader urban commerce platform.
Rocket Lab (RKLB) Gets Cut Despite Big YTD Gain
Perhaps the most surprising move: ARKX sold 53,917 shares of Rocket Lab (RKLB).
- RKLB is one of the core holdings in ARKX, with a strong lead in small satellite launch services.
- Even as shares have climbed +162.10% YTD to $65.42, Wood trimmed the position—potentially a case of locking in gains after a sharp rise.
- Despite the sell, Rocket Lab remains one of the few viable commercial launch providers outside of SpaceX, with growing contracts and spacecraft innovations.
AeroVironment (AVAV) Also Trimmed
Another minor sell came in AeroVironment (AVAV), with 3,890 shares sold:
- AVAV builds military drones and unmanned systems, benefiting from increased defense spending.
- The stock is up +161.96% YTD, and the sale is likely a profit-taking move rather than a vote of no confidence.
What It All Signals
Cathie Wood’s October 14 trades show a familiar pattern:
- Buy the dip in high-conviction names like DraftKings.
- Trim positions after major gains, such as Roblox and Rocket Lab.
- Continue adding to underappreciated innovation themes—including defense tech (L3Harris), autonomous ag (Deere), and logistics-as-a-service (DoorDash).
Her overall positioning still emphasizes long-term secular trends, but with careful portfolio management and rebalancing as stocks swing dramatically.
Cathie Wood’s ARK funds made strategic moves on October 14, adding shares of DraftKings, L3Harris, and Deere while trimming high-flyers like Rocket Lab and Roblox. The trades reflect her ongoing focus on disruptive innovation—tempered by valuation awareness and profit-taking.
