Cathie Wood’s ARK Buys The Dip In SpaceX Stock With Massive $47M Purchase

SpaceX (NASDAQ: SPCX) shares fell after Democrats swept the U.S. midterm elections, with Cathie Wood’s ARK Invest purchasing a total of 348,406 shares and spending an estimated $47.36 million on the stock.

Cathie Wood’s ARK Invest Scoop Up 348,406 SpaceX Shares

The SpaceX stock closed regular trading at $135.92, down $5.39, or 3.81%, from its previous close of $141.31. The drop occurred despite the big U.S. stock indexes closing higher after Democrats took control of the Senate and House. Democrats’ new majority over both Houses may mean more congressional oversight of technology firms and federal spending.

Additionally, analysts have raised concerns about potential delays or further investigation into Musk’s proposed business plans. The results of the election thus introduced another uncertainty for SpaceX stocks. Investors considered the threat of greater regulation of Elon’s companies, such as SpaceX’s government work, AI projects, and a potential Elon-Tesla combination.

Cathie Wood-led ARK’s latest trading disclosure indicates that it bought into three exchange-traded funds. The ARK Innovation ETF (ARKK) bought 224,483 SPCX shares. The ARK Autonomous Technology & Robotics ETF (ARKQ) bought 63,478 shares and the ARK Next Generation Internet ETF (ARKW) bought 60,445 shares.

The total number of shares bought by the three funds was 348,406. The transactions were valued at SpaceX stock’s price as of November 4 when it closed, valued at roughly $47.36 million. The purchases were made when stock prices fell, fuelled by worries about the political climate that Musk’s companies could face in the wake of the elections.

ARK Also Buys Circle Shares But Sells BLSH Stock

Cathie Wood’s ARK also bought shares of Circle Internet Group (NYSE: CRCL). On the same day, its ARK Fintech Innovation ETF (ARKF) bought 1,894 Circle shares just before the CRCL stock plunged over 12% today.

The buying activity was not the only activity in the fund. ARKK and ARKW each sold 36,331 and 35,248 shares of Bullish and Iambic Therapeutics, respectively. Meanwhile, ARKW sold 8,809 shares of CrowdStrike and 7,483 shares of Cloudflare. ARKQ also sold 15,750 shares of Amazon and 14,684 shares of Alphabet.