Core Viewpoint - Cathie Wood has been reducing her position in Oklo, a nuclear energy company backed by OpenAI CEO Sam Altman, despite its rising popularity in the AI and nuclear sectors [2][3]. Group 1: Company Overview - Oklo has seen a significant increase in its share price, rising by 500% since mid-August, with a notable 96% increase in January, largely influenced by Altman's involvement in a $500 billion AI infrastructure initiative [4]. - The company is currently pre-revenue and is not expected to scale operations for a couple of years, making it similar to a cash-burning startup [5]. Group 2: Investment Activity - Ark Invest sold over 335,000 shares of Oklo between October 21 and February 12, indicating a strategic decision to take profits amid the stock's rapid ascent [2][6]. - The historical performance of SPACs, through which Oklo went public, shows negative returns of 46% and 58% one and three years post-de-SPAC announcement, respectively, with renewable energy being one of the poorest-performing sectors [8]. Group 3: Market Sentiment - Oklo's recent rise appears to be driven by speculative momentum rather than solid operational results, likening it to a meme stock phenomenon [10]. - Investors seeking exposure to nuclear energy in relation to AI may find more established companies to be a safer investment compared to Oklo, which remains highly speculative [10].
Cathie Wood Is Selling This Artificial Intelligence (AI) Stock Backed By OpenAI's Sam Altman. Here's Why I Think She's Right.