Teradyne, Inc.

NASDAQ Global Select
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Slightly Bullish +25

Cathie Wood sells $74-million shares of this semiconductor company after stock skyrockets 72% in one month

📉 Cathie Wood sold over $74 million in AMD shares via her ARK ETFs after the stock surged more than 72% in one month.

🟢 She used those proceeds to purchase Amazon shares worth approximately $73 million while maintaining a long-term bullish outlook on the tech sector.

💻 The sale reduced her total AMD exposure to over $807 million, though it remains the second-largest holding within her ETFs following Tesla.

📦 Her ARK innovation ETF holds Amazon stocks valued at more than $296 million after the recent purchase and broader market gains.

📈 AMD's stock price has gained nearly 56% in 2026 so far, with total returns of over 260% last year and over 326% across five years.

🚀 Amazon shares rose more than 32% in one month, contributing to its status as a top holding alongside Tesla and CRISPR Therapeutics.

⚠️ Wood's Ark Innovation ETF experienced significant outflows, totaling approximately $1.34 billion recently with $225 million exiting over the past month.

🏆 Her flagship ARKK fund outperformed the S&P 500 significantly last year with a 35.49% gain compared to the index's 17.88%.

💬 In a recent blog post, Wood dismissed fears of an AI bubble, arguing that massive capital spending cycles are just beginning rather than peaking.

🤖 She believes technologies like robotics, energy storage, and blockchain are now ready for prime time following previous tech market bubbles.

🔍 Teradyne is listed among the top 10 holdings in Wood's ARK ETFs alongside other high-profile tech and crypto companies like Coinbase and Roku.

📊 AMD still constitutes a major portion of her portfolio despite the recent large-scale sale indicating profit-taking after substantial gains.

Bullish Signals
  • Cathie Wood expressed strong long-term optimism on disruptive technologies, including AI, robotics, energy storage, and blockchain.
  • In her view, the AI market bubble is "years away," indicating confidence that capital spending for these technologies is entering a powerful cycle similar to the nineties tech boom.
  • She stated that after previous bubbles, a 20-year peaking process has given way to what could become "the most powerful capital spending cycle in history."
  • ARK Innovation ETF (ARKK) gained 35.49% last year, far outpacing the S&P 500's return of 17.88%.
  • Despite taking profits on AMD, it remains the second-largest holding for ARK ETFs, signifying continued belief in the company's long-term prospects.
Risk Factors
  • Cathie Wood sold $74 million in AMD shares, reducing her exposure after the stock rallied a staggering 72% in just one month and nearly 56% in 2026 so far.
  • Despite maintaining long-term optimism, Wood's flagship ARK Innovation ETF (ARKK) saw approximately $1.34 billion in net outflows with $225 million exiting the fund over the past month, indicating a lack of confidence among some investors or potential overheating in the portfolio.
  • The significant sale of AMD shares, now AMD being the second-largest holding but reduced after such a massive surge, suggests the risk of profit-taking in semiconductor stocks that have already appreciated more than 260% over one year and 326% over five years.
Full Analysis
ARK Investment Management strategist Cathie Wood reduced her exposure to Advanced Micro Devices (AMD) by selling shares valued at more than $74 million on Friday, while simultaneously increasing her stake in Amazon with purchases worth a little over $73 million. The transactions were executed through her ARK ETFs, which left AMD holdings above $807 million and Amazon holdings exceeding $296 million, keeping AMD as the second-largest holding for the funds. Wood's move coincides with significant market gains, as AMD shares rallied approximately 14% on Friday following a staggering 72% gain in one month, contributing to a total increase of nearly 56% in 2026 and over 260% in one year. In contrast, Amazon shares gained over 32% in the same period, though they have experienced slightly lower cumulative growth compared to AMD over their respective timeframes. The selling activity in AMD also occurred against a backdrop of liquidity changes within Wood's broader fund structures. Data from ETF research firm VettaFi indicates that the Ark Innovation ETF experienced approximately $1.34 billion in net outflows, with an additional $225 million exiting the fund over the past month, despite the flagship Ark Innovation ETF (ARKK) gaining 35.49% last year, far surpassing the S&P 500's 17.88% return. Wood maintains a list of top holdings that includes Tesla, CRISPR Therapeutics, Tempus, Shopify, Robinhood, Teradyne, Roku, Circle Internet Group, and Coinbase alongside AMD and Amazon. Her recent activity reflects a strategy of rebalancing after strong performance in the semiconductor sector while increasing allocation to cloud infrastructure via Amazon. Regarding market sentiment, Wood recently dismissed concerns about an artificial intelligence bubble, stating in a January blog post that any such bubble is "years away." She argued that what was previously considered a spending cap has become a floor, positioning AI, robotics, energy storage, blockchain technology, and multiomics sequencing platforms for prime time. Wood envisions a prolonged capital spending cycle comparable to or exceeding the post-20th century dot-com era, noting that after a 20-year peaking process around $70 billion in spending during the telecom bubble of the nineties, the current landscape could become the most powerful capital spending cycle in history. Her comments underscore a long-term bullish outlook on disruptive technologies despite the recent short-term volatility and selling pressure observed in her AMD positions.