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Cathie Woods buys $13.4 million of tumbling tech stock
Yahoo Financeยท 2025-12-14 19:17
Core Insights - Cathie Wood's ARK Investment Management has invested over $30 million in Robinhood shares during a period of stock price decline, viewing it as a buying opportunity [1][4] - Despite a recent 11% drop in value over the past month and a 14% decline in the past week, Robinhood's year-to-date performance shows a remarkable 217% gain [2] - The recent sluggishness in Robinhood's stock is attributed to decreased trading volumes and assets under custody, indicating reduced user activity [2] Company Performance - Robinhood reported record Q3 sales of $1.27 billion, a 100% increase year-over-year, with a net income of $556 million, marking its best quarter ever [6] - The earnings snapshot for the last four quarters shows consistent growth, with Q3 2025 EPS at $0.61 and revenue at $1.27 billion, both exceeding expectations [7] Investment Strategy - Wood's investment in Robinhood aligns with her broader strategy focused on digital infrastructure, software, and automation, which are seen as key areas for future growth [4] - The recent purchases of Robinhood shares reflect Wood's long-term conviction in the company's potential as a major disruptor in the finance industry, despite short-term market fluctuations [3][4]