ARK Invest Trims AMD and TSMC Holdings, Adds to Archer Aviation and Joby Aviation
Why It MattersFresh fund money flowing into pre-revenue electric air taxi developers shows investor appetite for advanced air mobility persists, even though neither company has yet reached commercial passenger service.
Cathie Wood's ARK Invest sold shares of AMD and Taiwan Semiconductor as it rotated capital toward electric air taxi companies. ARK sold 24,796 AMD shares worth about $13.2 million and 21,894 Taiwan Semiconductor shares worth about $9.3 million. The AMD sale comes ahead of the company's third-quarter earnings on Nov. 3, for which Wall Street expects earnings of $1.94 per share on revenue of $13.08 billion. Analysts remain bullish on AMD: Susquehanna recently raised its target to $620, while Bernstein kept an Outperform rating with a $650 target.
ARK used part of the proceeds to add to Archer Aviation and Joby Aviation, buying about $4.8 million of Archer shares and roughly $2 million of Joby shares. Both companies are still working toward commercial electric air taxi operations, making them considerably earlier-stage investments than AMD or TSMC. The trades show ARK moving away from semiconductor winners after large gains and adding exposure to a more speculative transportation theme.
