Cathie Wood has made a name for herself as an innovation-focused growth investor, and her leadership as founder and CEO of Ark Invest has led some investors to pay close attention to the purchases and sales of shares in the various exchange-traded funds (ETFs) managed by the company. While the performance of his funds has been mixed in recent years, Wood’s top picks have tended to post explosive gains along the way.
With that in mind, read on to see the three most recently purchased stocks for the company’s flagship. Ark Innovation ETF (NYSEMKT:ARKK).
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At the time of writing this article, figure (NYSE: FIG) is the latest stock to be purchased for Cathie Wood’s Ark Innovation ETF. Ark bought shares of the fund on February 23, marking the third time it bought shares of the design collaboration software specialist in the month.
Figma alone ranks as the 38th largest holding in the Ark Innovation ETF as of the most recent update, making up about 0.66% of the total portfolio. On the other hand, Figma has the distinction of being one of the few stocks to which the fund increased its exposure in the second half of February.
Figma has seen volatile trading over the past six months as investors weigh concerns about slowing growth and long-term profitability. On the other hand, sales still grew 40% year over year in the fourth quarter and the business posted an adjusted operating margin of 14% in the period. While Figma is a high-risk, high-reward bet, Wood and Ark are clearly optimistic about the company’s prospects.
CRISPR therapeutics (NASDAQ:CRSP) has long been one of the largest holdings in the Ark Innovation ETF, and Wood’s flagship fund once again bought more shares of the gene editing specialist on February 20. At the time of writing, CRISPR is the fund’s second-largest holding, accounting for 6.64% of the total portfolio weight.
CRISPR is a biotech company that is generating relatively little revenue, posting sales of just $3.5 million last year. On the other hand, the company could end up generating explosive growth if even a small number of the gene-editing drug candidates in its pipeline achieve significant commercialization. For better or worse, CRISPR is a speculative growth play that could play a big role in shaping the performance of the Ark Innovation ETF over the next five years.