Ark Invest Buys $14M Circle Shares, Sells Robinhood Stock

Cathie Wood's Ark Invest purchased 220,012 shares of Circle Internet Group and 19,029 shares of Block Inc. on Tuesday, while selling 27,742 shares of Robinhood Markets Inc. The Circle purchases totaled approximately $13.9 million at Tuesday's closing price of $63.22, distributed across Ark's ARKK, ARKW, and ARKF exchange-traded funds. The trading activity follows Mizuho's recent downgrade of Circle to Underperform from Neutral, citing competitive pressure from the new Open USD stablecoin project launched in early July.

Ark Invest Purchases $13.9 Million in Circle Shares Across Three ETFs

Ark Invest's latest trading disclosure shows the firm bought 220,012 shares of Circle (CRCL) across three exchange-traded funds on Tuesday. The purchases were valued at approximately $13.9 million based on Circle's closing price of $63.22. Circle rose 0.35% on Tuesday but remains down 24.17% over the past month, following a sharp decline in early July after the launch of the Open USD stablecoin project. Mizuho recently downgraded Circle to Underperform from Neutral and cut its price target to $50 from $85, citing Open USD's threat to Circle's future business.

Ark Invest Adds $1.52 Million in Block Inc. Shares

Through ARKW and ARKF, Ark Invest purchased 19,029 shares of Block Inc., the blockchain-focused fintech co-founded by Jack Dorsey. The purchase was worth $1.52 million. Block rose 1.61% on Tuesday, closing at $79.99.

Ark Invest Sells $3.15 Million in Robinhood Shares

Ark Invest sold 27,742 shares of Robinhood Markets Inc., valued at approximately $3.15 million. Robinhood climbed 3.27% on Tuesday to close at $113.45.

Ark Invest Maintains 10% Portfolio Cap Through Active Rebalancing

The investment firm actively adjusts its ETF holdings to ensure no single stock exceeds 10% of a fund's portfolio. This policy requires Ark to rebalance weightings when the value of certain assets fluctuates significantly.

FAQ

How much did Ark Invest spend on Circle shares on Tuesday?

Ark Invest purchased approximately $13.9 million worth of Circle shares on Tuesday, buying 220,012 shares at a closing price of $63.22 across its ARKK, ARKW, and ARKF exchange-traded funds.

Why did Mizuho downgrade Circle stock?

Mizuho downgraded Circle to Underperform from Neutral and cut its price target to $50 from $85, citing the threat posed by the Open USD stablecoin project to Circle's future business.