Key Takeaways
- ARK divested 23,573 AMD shares valued at $11.7 million on July 17
- The firm acquired 147,805 SpaceX shares representing $19.4 million in value
- AMD shares plummeted more than 11% in the previous week amid semiconductor industry downturn
- ARK Innovation ETF has declined 3.43% in 2026, contrasting with the S&P 500’s 8.94% rise
- UBS upgraded AMD’s price target to $700, pointing to robust AI accelerator market demand
In a significant portfolio adjustment, Cathie Wood’s ARK Investment Management liquidated its Advanced Micro Devices position on July 17 while simultaneously expanding its holdings in SpaceX and other growth companies. The transactions indicate a strategic reallocation within ARK’s investment thesis.
The asset manager offloaded 23,573 AMD shares representing approximately $11.7 million, calculated using the July 17 closing price of $495.76. This transaction forms part of a larger divestment pattern — throughout July, ARK has dumped 137,421 AMD shares totaling roughly $68.1 million at prevailing market valuations.
Advanced Micro Devices, Inc., AMD
Despite the continuous selling activity, AMD continues to rank as the eighth-largest position in ARK Innovation ETF. The semiconductor company accounts for 4.04% of the fund’s total assets as of July 16.
The chip manufacturer’s stock experienced a decline exceeding 11% in the preceding week. This downturn originated when Micron Technology faced pressure following news that Chinese semiconductor firm ChangXin Memory Technologies is planning a Shanghai IPO potentially raising as much as $9.8 billion.
While AMD doesn’t operate in the memory chip segment, market participants engaged in profit-taking throughout the semiconductor industry after a robust performance this year. Despite the recent pullback, AMD maintains a year-to-date gain of 131.5%.
SpaceX Becomes Major Focus for ARK
Simultaneously, ARK accumulated 147,805 SpaceX shares valued at $19.4 million distributed across multiple ETFs. The firm also initiated a position in CoreWeave, purchasing 115,827 shares for approximately $8.4 million.
Additional acquisitions included positions in Kratos Defense and Security Solutions along with AeroVironment, reinforcing a consistent strategy of allocating capital to defense and aerospace sectors.
Innovation ETF Underperforms Broader Markets in 2026
Through the current period in 2026, ARK Innovation ETF has posted a decline of 3.43%, while the S&P 500 index has advanced 8.94%. Examining a five-year timeframe, the fund has generated an annualized return of negative 8.23%, substantially underperforming the S&P 500’s 11.50% gain.
Over the twelve-month period ending July 16, the fund experienced approximately $1.26 billion in net capital outflows, based on data from ETF research provider VettaFi.
Wood maintains her conviction that technological advancement is exerting deflationary pressure on the broader economy, especially through artificial intelligence development. She contends this dynamic will result in declining inflation, reduced interest rates, and accelerated economic expansion — market conditions she believes will benefit innovation-focused equities.
AMD approaches a significant catalyst with CEO Lisa Su scheduled to present the MI450X accelerator and MI500 GPU series at the company’s Advancing AI 2026 conference on July 22 and 23.
Investment bank UBS recently elevated its AMD price objective to $700 from $670, maintaining its buy recommendation. The firm increased its 2027 revenue projection for AMD to $83.4 billion and boosted its earnings forecast to $14.63 per share.
AMD will release its upcoming quarterly earnings report in August.
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