Cathie Wood Watch: Ark Buys Biotech Stocks

Investment star Cathie Wood, chief executive of Ark Investment Management, on Tuesday had focused some of her buying on biotechnology stocks.

Recent purchases including Atai Life Sciences  (ATAI) – Get ATAI Life Sciences N.V. Report, Codexis  (CDXS) – Get Codexis, Inc. Report and Adaptive Biotechnologies  (ADPT) – Get Adaptive Biotechnologies Corp. Report.

Ark exchange-traded funds also purchased 1Life Healthcare  (ONEM) – Get 1Life Healthcare, Inc. Report, a chain of healthcare clinics, and Joby Aviation  (JOBY) – Get Joby Aviation, Inc. Report, which is developing an electric air taxi.

On the selling side, Ark unloaded LendingClub  (LC) – Get LendingClub Corp Report, a peer-to-peer lender.

Ark Genomic Revolution ETF  (ARKG) – Get ARK Genomic Revolution ETF Report bought 83,881 shares of Atai Life Sciences, valued at about $423,000; 79,201 shares of Codexis, valued at about $1.5 million, and 54,278 shares of Adaptive Biotechnologies, valued at $635,000. All valuations are as of Tuesday’s close.

Ark Genomic also snapped up 47,089 shares of 1Life Healthcare, valued at about $434,000 as of Tuesday’s close. 

And ARK Space Exploration & Innovation ETF  (ARKX) – Get ARK Space Exploration & Innovation ETF Report snatched 45,621 shares of Joby Aviation valued at $223,000.

Meanwhile, Ark Fintech Innovation ETF  (ARKF) – Get ARK Fintech Innovation ETF Report sold 120,660 shares of LendingClub, valued at $1.8 million as of Tuesday’s close.

TheStreet.com’s Sean Sechler recently offered an analysis of Cathie Wood’s investing.

“Wood is undoubtedly a brilliant person that’s easy to root for, but investors are beginning to wonder whether or not her stock-picking skills can right the ship in a truly treacherous market environment,” he wrote. Ark’s flagship Ark Innovation ETF  (ARKK) – Get ARK Innovation ETF Report has slid 35% so far this year.

“It doesn’t help that many of the core holdings in ARK funds like the Innovation ETF and Genomic Revolution ETF are businesses that could be years away from profitability, which is a big problem given the macroeconomic backdrop we are dealing with at the moment,” Sechler said.

“On the other hand, these funds have been so beaten up that there’s definitely a chance a bottom is in sight, which might tempt some investors to add exposure to the Ark family.”