Tesla Stock: Cathie Wood Sells $27 Million To TSLA To Buy The Dip On Coinbase, Block

Fund manager Cathie Wood and her firm ARK Invest Management sold millions of shares of Tesla and shares of Coin base (COIN) as crypto exchange shares plummeted after receiving a warning from the Securities and Exchange Commission.


Tesla stock sale

Wood released a total of 139,642 Tesla (TSLA) shares on Thursday, according to a Thursday evening investor update, worth $26.84 million based on the closing price of 192.22. The company sold 119,630 shares of its ARK Innovation ETF (ARKK) and 20,012 shares of the Next generation ARK Internet ETF (ARKW).

Coinbase Stock Collapses as SEC Gets Aggressive

The sale ended a Tesla buying streak for Wood. ARK added $12.6 million in Tesla stock on March 8 after capturing 1.3 million shares in December and January, according to Barron’s data. Tesla shares closed 5.5% higher on Thursday than their March 8 closing price and 1% below their December 1 closing price. Tesla shares are up 56% so far this year.

TSLA shares traded 1.1% lower early Friday.

Buying the Coinbase Dip

Meanwhile, ARK Invest added 268,928 shares of Coinbase, worth $17.83 million based on Thursday’s closing price of 66.30. ARK added 230,599 shares to ARKK and 38,329 shares to ARKW, respectively.

COIN shares fell 14% on Thursday after the company announced it had received a Wells Notice from the SEC late Wednesday, a warning that the regulator plans to recommend enforcement action for potential securities violations. Coinbase and its executives remain adamant that their products are regulatory compliant.

On March 21, Wood sold 160,887 shares of Coinbase from the ARK Fintech Innovation ETF (ARKF) on the occasion of ARK’s first COIN inventory sale of the year.

COIN shares fell another 4.5% premarket on Friday. Coinbase shares were up 97% since the end of the year as of Thursday’s close. But rocked by crypto panic, Coinbase stock remains well below its all-time high of 368.90 as of November 9, 2021.

Wood and ARK also bought 320,557 shares of payment processor Block (SQ), valued at $19.84 million based on Thursday’s close at 61.88. SQ shares fell 2.3% before the bell on Friday.

Square dives short seller fees, company explores legal action

You can follow Harrison Miller for more stock market news and updates on Twitter @IBD_Harrison


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