Since mid-May, Cathie Wood’s Ark Invest has liquidated almost all of its position in Alibaba Group (NYSE: BABA).
That included a $54 million sale of the Chinese e-commerce and artificial intelligence (AI) stock in a single day in late June
Wood, who is both the CEO and the public face of the company, has not publicly commented on this move, which some investors may treat as a sell signal in itself. Nonetheless, investors should probably look more closely at Alibaba’s fundamentals and business environment before making such a decision on the consumer discretionary stock. A sudden reversal Alibaba stock has lost approximately half of its value since it reached its 52-week peak in October.
At that time, Ark Invest owned around 99,000 shares of Alibaba. As the stock began to correct in November, Wood increased her position in it. However, she began selling the stock aggressively at the beginning of June, and as of the time of this writing, she has sold nearly all of Ark Invest’s Alibaba stock.