TLDR

Table of Contents

Cathie Wood’s Ark Invest purchased Nvidia and AMD shares worth approximately $12.6 million and $11.5 million respectively
Ark reduced its stake in Palantir, selling shares worth about $38.8 million
The purchases come amid potential easing of AI chip export restrictions to China under Trump’s administration
AMD reported strong Q1 2025 results with 36% year-over-year revenue growth to $7.44 billion
AMD’s data center segment surged 57% to $3.7 billion driven by AI demand

Cathie Wood’s Ark Invest has made a series of moves in the AI chip sector, increasing stakes in Nvidia and AMD while cutting back on its Palantir holdings. The investment firm purchased shares of the chip giants worth over $23 million combined, while selling nearly $39 million in Palantir stock.

On Wednesday, Ark Invest acquired approximately 107,661 shares of Nvidia across multiple ETFs, including its flagship ARK Innovation ETF (ARKK), ARK Autonomous Technology & Robotics ETF (ARKQ), ARK Next Generation Internet ETF (ARKW), and ARK Fintech Innovation ETF (ARKF). With Nvidia’s stock closing at $117.06, the total value of these purchases was about $12.6 million.

The investment firm also bought roughly 114,581 shares of AMD through various ETFs including ARKK, ARKQ, ARKW, and ARK Space Exploration & Innovation ETF (ARKX). At AMD’s closing price of $100.36, the value of these acquisitions totaled approximately $11.5 million.

These purchases continue Ark’s recent pattern of increasing its AI chip holdings. On April 23, the Ark Autonomous Technology & Robotics ETF had acquired 11,000 Nvidia shares valued at $1.09 million. Similarly, on April 30, the Ark Next Generation Internet ETF added 7,786 AMD shares worth $750,492.

Market Context and Export Restrictions

The timing of these purchases coincides with news that the Trump administration plans to ease AI chip export restrictions. The Biden-era rule, which was set to take effect on May 15, aimed to block advanced U.S. AI chips from reaching China through third-party countries.

Trump’s team has indicated it won’t enforce this rule, instead planning to implement a “simpler” export framework. This new approach aims to protect national security without hampering innovation. Investors viewed this development positively, pushing up shares of both Nvidia and AMD.

Wood has consistently positioned Nvidia as a central player in the AI revolution. Her latest investments suggest ongoing confidence that both Nvidia and AMD will benefit from growing global demand for AI infrastructure.

AMD’s Financial Performance

AMD’s recent financial results support Wood’s investment thesis. In Q1 2025, the chipmaker reported revenue of $7.44 billion, representing a 36% increase year-over-year. The company posted adjusted earnings per share of $0.96.

A key driver of AMD’s growth was its data center segment, which grew 57% to reach $3.7 billion, fueled by strong demand for AI computing solutions. Despite this success, AMD faces challenges from U.S. export restrictions that limit advanced AI chip sales to China.

Lisa Su, AMD’s CEO, acknowledged these restrictions as a “headwind” but expressed confidence in the company’s performance across other markets. On TipRanks, AMD currently has a Moderate Buy consensus rating based on 18 Buys and 7 Holds, with an average price target of $124.61, suggesting a 24.16% upside potential.

Palantir Divestment

While building positions in chip companies, Ark Invest reduced its stake in Palantir Technologies. On Wednesday, the firm sold shares across all its ETFs, including ARKF, ARKK, ARKQ, ARKW, and ARKX. The total value of these sales was approximately $38.8 million, based on Palantir’s closing price of $110.48.

This follows a similar move on Tuesday, when Wood sold $41 million worth of Palantir shares. Despite these sales, Palantir remains Ark’s fifth-largest holding, constituting 6.62% of the portfolio with a total value of $324.4 million.

The reduction in Palantir holdings comes despite the company’s strong first-quarter earnings. The Alex Karp-led data analytics firm has seen downward pressure on its stock price recently.

In addition to these major moves, Ark Invest also purchased shares of Tempus AI through its ARKK ETF. The firm acquired 75,020 shares of the precision medicine company, valued at approximately $4.4 million based on Tempus AI’s closing price of $58.76.

Tempus AI recently reported strong first-quarter results, with revenue of $255.74 million exceeding analyst estimates of $248.13 million. This performance has contributed to a surge in the company’s stock price.

Through these strategic adjustments to its portfolio, Ark Invest continues to position itself to capitalize on the growing AI chip market while managing exposure to other tech sectors.

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