Cathie Wood offloads this AI stock despite 150% rally in 2025

Core Insights - ARK Invest has reduced its stake in Palantir (NASDAQ: PLTR) despite the stock's impressive performance, which has seen a year-to-date increase of over 150% and a recent peak at $190.84 [1][2] Group 1: Stock Performance - Palantir's stock has surged more than 150% year to date, reaching an all-time high of $190.84, and closing at $189 on the latest trading day [2] - The company's strong fundamentals are reflected in gross profit margins near 80% and a revenue growth of 39% over the past year [4] Group 2: Company Developments - Palantir is expanding its role in artificial intelligence and government data analytics, with its software being utilized in U.S. Army drone tests and forming new partnerships with Lumen Technologies and Snowflake to enhance enterprise adoption of its Foundry platform [5] Group 3: ARK Invest's Strategy - While reducing its position in Palantir, ARK Invest has increased holdings in other companies such as Block, Intellia Therapeutics, 10x Genomics, and Pacific Biosciences, indicating a focus on genomics and innovation [6] - The fund has also added positions in DraftKings, Amazon, Alibaba, and DoorDash, showcasing continued confidence in digital commerce and biotech sectors [6] - ARK has simultaneously reduced positions in other high-growth stocks like Shopify, Roblox, and SoFi Technologies, reflecting a strategy of rebalancing amid market volatility [7]