Cathie Wood’s Comeback: Betting Big on Tech
After a few tumultuous years, Cathie Wood, the renowned growth investor, is back on track. Her signature funds at Ark Invest have outperformed the market averages, and she’s making strategic moves to repeat this success in 2025.
Strengthening Positions in Tech Giants
Wood kicked off the week by adding to her existing stakes in Advanced Micro Devices (NASDAQ: AMD), Pure Storage (NYSE: PSTG), and a leading online retailer. Let’s dive into the details.
Advanced Micro Devices: A Buying Opportunity?
AMD’s recent struggles, including a 35% decline over the past 12 months, might make it an attractive buy. Despite a 6% slide on Monday, Wood sees potential in the computing semiconductor specialist. AMD’s data center business has been thriving, driving an 18% revenue growth in its latest report. With the company set to report its fiscal fourth-quarter results next week, Wood’s purchase could be timely.
Amazon: A Different Story
Unlike AMD, Amazon’s stock has been on an upward trajectory, rising 48% over the past year. With Wall Street’s profit targets moving higher, Amazon’s cloud-hosting business, Amazon Web Services, is expected to continue driving growth. The company’s quarterly results, also due next week, could further boost its stock.
Pure Storage: A Flash of Hope
Pure Storage, a leader in flash storage solutions for data centers, has seen its stock fall nearly 10% on Monday. However, Wood remains bullish, likely due to the company’s proprietary software and improving margin expectations. With a longer winning streak in its books, Wood isn’t afraid to buy the dip.
The Takeaway
Cathie Wood’s latest moves suggest she’s positioning her exchange-traded funds for another successful year. By betting on tech giants like Advanced Micro Devices, Amazon, and Pure Storage, Wood is making a bold statement about the sector’s potential. Will her strategy pay off? Only time will tell.
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