Cathie Wood buys $18 million of beaten-down AI stock

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Cathie Wood buys million of beaten-down AI stock — Cathie Wood buys 18 million of beaten down AI stock.jpeg

CoreWeave experienced a 5.83% drop on April 28 following reports that OpenAI had failed to meet its internal revenue and user growth targets. While many investors saw this as a reason to be cautious, Cathie Wood saw it as an opportunity to buy. Wood’s ARK Invest ETFs swiftly made a move, showing the strong conviction behind her decision.

ARK Invest purchased 162,306 shares of CoreWeave across its ARKK and ARKW ETFs on April 28, totaling approximately $18.18 million. This purchase came on a day when CoreWeave’s stock price closed at $105.53, down from the previous day. Despite the negative news surrounding OpenAI, Wood viewed the selloff as an isolated event and continued to show confidence in CoreWeave’s underlying business strength.

CoreWeave is a GPU-optimized cloud infrastructure company specializing in AI workloads. It has partnerships with major players like Google, Microsoft, Meta, and Anthropic. The company’s revenue has consistently doubled in each of its first four quarters since going public, with analysts expecting another substantial increase in the upcoming quarterly results.

Wood’s repeated investments in CoreWeave, totaling at least $80 million in 2026 alone, demonstrate her strong belief in the company’s growth potential. Despite the risks associated with high leverage and dependence on key customers like OpenAI, Wood remains optimistic about CoreWeave’s future prospects.

In addition to CoreWeave, ARK also made significant purchases in Alphabet and Kratos Defense and Security Solutions on the same day. Wood’s strategic moves reflect her confidence in AI infrastructure and related themes while reducing exposure to digital assets.

While CoreWeave remains a high-risk investment, Wood’s continued support indicates her belief in the company’s long-term success. For investors monitoring ARK’s activities as a gauge of institutional sentiment in the AI infrastructure sector, Wood’s recent purchases serve as a strong indicator of her positive outlook on CoreWeave’s future.

This article was adapted from a piece originally published by TheStreet on April 30, 2026, and provides valuable insights into Cathie Wood’s investment strategy and her views on CoreWeave amidst market fluctuations.