Why Is Cathie Wood Buying SpaceX and CoreWeave?
ARK bought 147,805 SpaceX shares worth about $19.4 million on Friday. It also purchased 115,827 CoreWeave shares worth about $8.4 million.
Wood appears to be buying the dip in SpaceX. SPCX stock has fallen about 23% year to date and dropped more than 5% on Friday. The SpaceX buy comes as the company looks to expand into AI computing. SpaceX is reportedly in talks with the U.S. Department of Defense for a deal that could be worth billions of dollars. Under the deal, SpaceX would give the Pentagon access to data center capacity to run AI models.
SpaceX could also compete with AI cloud firms such as CoreWeave. Reports suggest SpaceX has discussed offering similar computing services at lower prices. Interestingly, ARK bought shares of both companies on Friday. The move gives Wood exposure to SpaceX’s new AI push while also adding to CoreWeave, a key player in the AI cloud market.
Wall Street’s Take on SPCX and CRWV Stocks
