Cathie Wood's arrival is imminent with the escalating stock price.
In the world of tech investing, Cathie Wood's ARK Invest remains steadfast in its strategic position with Nvidia, despite the company's recent stock drop that resulted in a loss of over $40 billion in market value.
The drop, which occurred on Monday, was a result of a preliminary earnings report published by Nvidia, revealing an expected revenue for the completed quarter of $6.7 billion, down by 19% compared to the previous expectation of $8.1 billion. Nvidia's stock subsequently dropped by over 6% to $178.
However, ARK Invest continues to buy heavily in Nvidia. The investment firm, known for its focus on technology and growth, views Nvidia as a core long-term growth driver within the evolving AI and semiconductor landscape. ARK has increased its holdings in Nvidia even as the stock has doubled since spring 2025.
ARK considers Nvidia pivotal in the AI infrastructure market, despite ongoing export restrictions to China and regulatory scrutiny. The firm bets on Nvidia’s innovation and growth potential in U.S. AI infrastructure and new chip designs. This bullish stance is further reinforced by the recently passed $280 billion package by the US Congress to boost domestic chip production and decrease dependence on China. The package includes subsidies worth $52.7 billion for manufacturing computer chips in the US, a move that could potentially benefit Nvidia, given its focus on technology.
Nvidia now ranks among the top 25 positions in all three of Cathie Wood's ETFs: the Ark Disruptive Innovation ETF, the Next Generation Internet ETF, and the Fintech ETF. Despite the flagship ARK Disruptive Innovation ETF decreasing nearly 50% since the start of the year, ARK's long-term investment strategy with a horizon of five years remains unwavering.
It's important to note that there is a potential conflict of interest, as the majority shareholder of Finanzen Verlag GmbH, Bernd Fötsch, holds positions in financial instruments related to Nvidia.
Despite other investors seeking refuge from falling tech stocks, ARK Invest continues to see Nvidia's market leadership, innovation trajectory, and supportive geopolitical trends such as U.S. chip production incentives as reasons for a strong performance outlook. Nvidia will present its final numbers on August 24.
[1] CNN Business [2] Bloomberg [3] Reuters [4] ARK Invest
ARK Invest, with a focus on technology and growth, continues to buy heavily in Nvidia, viewing it as a core long-term growth driver within the evolving AI and semiconductor landscape (finance, investing, technology). The firm's long-term investment strategy remains unwavering, even as Nvidia's stock has faced a drop and the ARK Disruptive Innovation ETF has decreased nearly 50% since the start of the year (finance, investing).
