Cathie Wood splurges $4.1 million on popular AI stock | Official Website of Louis Velazquez, entrepreneur, finance guy and tech innovator

Cathie Wood just made a bold move again.

As AI continues to sweep the investing narrative, she’s doubled down on a stock that’s essentially at the center of it all.

Though it’s far from being a new name for her, the size and timing of her bet say something different.

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The stock market’s near all-time highs, and even with all the overvaluation chatter, Wood’s conviction stands out.

When Cathie Wood shells out so much cash at an AI heavyweight, she’s not just stock picking, but making a clear statement. Real infrastructure, real profits, and zero hesitation.

Cathie Wood continues to back AI infrastructure with high-conviction buys, even near record highs.

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Why AI is more than a trend for Cathie Wood

For Cathie Wood, AI isn’t just a passing fad, but also a key pillar of ARK’s investment strategy. AI is among the firm’s five “innovation platforms,” and Wood still feels we’re in the early innings of what she calls “the AI movement.”

In ARK’s Big Ideas 2025 report, she mapped out how smarter AI models and quicker chips could transform everything from diagnostics to robotaxis.

The thesis is that AI isn’t a vertical, but a foundational force that’s set to revamp virtually every industry, from automated factories to financial modeling.

However, instead of scattering bets, Wood looks to concentrate her capital in high-conviction bets she feels might double over a five-year window.

Be it AI, robotics, DNA sequencing, or blockchain, ARK aims to back the bellwethers leading the step changes. Hence, her strategy is bold and volatile by design.

Cathie loads up on Nvidia while selling stake in flying car stock Joby

Cathie Wood’s ARK Space Exploration & Innovation ETF just made a major move, speaking volumes about where she sees the near-term upside in AI.

On August 4, the fund scooped up an additional $1.6 million worth of Nvidia (NVDA) stock. The buying spree didn’t stop there, with ARKQ (ARK Invest’s autonomous tech fund) also adding a hefty $2.5 million of Nvidia stock the same day.

These bets underscore Wood’s conviction in Nvidia as perhaps the most compelling play in AI infrastructure.

Also in May, Wood dropped a head-turning $12.6 million into Nvidia across multiple ETFs, hailing it as the “backbone of modern AI infrastructure.”

However, it wasn’t the only AI chip stock she’s been loading up on.

In the past few weeks, ARK added over $11 million of AMD stock, betting big on its MI300X GPUs and their growing market share in training and inference markets.

She’s even adding Tempus AI to the mix for a diagnostics and health care play.

Nvidia’s relentless data-center expansion and its robust position in both generative AI workloads and traditional GPU-accelerated workloads have positioned it as the unequivocal AI juggernaut.

Additionally, the move reflects a long-term thesis that the demand for AI chips will continue to grow at a swift pace.

But the rebalancing came with a tradeoff.

That same day, ARKX trimmed its exposure to Joby Aviation, shedding roughly $3.8 million worth of stock.

Though Joby’s recent acquisition of Blade Air Mobility’s passenger unit showed progress toward commercialization, Wood’s team seems to be getting a lot more cautious.

Regulatory hurdles and FAA certification remain wild cards, and that effectively means taking some money off the table.

The strategy is classic ARK, which involves doubling down on high-conviction winners while keeping speculative plays on a tighter leash.

Nvidia’s 2025 run shows no signs of slowing

Nvidia’s been on a tear in 2025, and the momentum isn’t fading.

The stock is up close to 30% year to date as of early August, after a sharp rebound from its April lows.

It’s important to note that Nvidia recently became the first U.S. company to crack the $4 trillion market cap mark, as it dominates the AI hardware space.

Much of that surge is linked to the jaw-dropping expansion in its data center business.

In February, Nvidia reported fiscal Q4 sales of $35.6 billion from the segment, up 93% year over year.

It followed that up with another massive 73% jump in Q1, with sales hitting $39.1 billion. Moreover, Nvidia’s H100 and H200 GPUs continue to anchor AI infrastructure across hyperscale cloud providers.

International tailwinds have helped, too.

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Nvidia recently got the green light to ship its new H20 chips to China and locked in fresh orders with TSMC.

At the same time, it has been cooking up some AI partnerships in Europe and the Middle East, flexing its global reach.

Hence, with AI set to drive north of 10% of U.S. GDP in 2025, Nvidia isn’t just riding the wave; it’s defining it.