Cathie Wood is frequently referred to as the stock market’s “disruptive innovator.” Over the next five years, her ARK Innovation ETF will have returned more than 150%. In 2014, Wood launched ARK, a hedge fund that has since become one of Wall Street’s most successful. Investing in high-growth sectors and purchasing shares at a discount have been a priority for Ms. Wood’s fund over the last few years. In 2021, her flagship fund fell 24% from its peak in 2020. It is down by a startling 20 percent in the first few weeks of 2022. According to ARK’s chief investment officer Anne Wood, the stock market value of tech stocks could “triple or quintuple” in the next five years. She predicted that ARK would continue to buy tech stocks even if their prices fell during a slowdown. The Pandemic’s added complication strengthens her case even further. The ARK Innovation ETF has seen a $352 million outflow in the last few weeks, the largest since March. For Wood, this represents a “bargain” despite the fact that several of the fund’s holdings have fallen by more than 70% in value.
Here is Insider Monkey’s list of the 15 worst stock picks of Cathie Wood. In the chemical and biochemical industries, 908 Devices Inc. manufactures and sells measurement devices. Since the end of 2020, the company has been part of the ARK portfolio. Wood has increased her holdings in the company despite the recent decline in the stock price. Also, a cancer genomics company called Personalis, Inc. has been losing the interest of hedge funds. Research and development of 3D tissues is the focus of Organovo Holdings, Inc. As of September 2021, there were 381,586 shares in ARK worth $2.5 million. Over the last three quarters, the fund has quickly reduced its stake in the company. Computational biology is at the heart of Evogene Ltd.’s business. In recent months, hedge funds have been less than enthusiastic about the stock. At the end of September, ARK owned more than $10.6 million worth of shares in the company. A company called Skift Inc. specializes in home entertainment. In the first quarter of 2021, ARK acquired its first stake in the company. The hedge fund cut its stake in Skillz Inc. by about 24 percent between June and September. Therapeutics for cancer and blood diseases are being developed by Gamida Cell Ltd. On September 30, 2021, 12 hedge funds in Insider Monkey’s database held $26 million in GMDA. For more details, click the 15 worst stock picks of Cathie Wood.
