"Wood Sister" continues to reduce holdings in Tesla, Inc. (TSLA.US) and increase holdings in this stock to bet on AI and semiconductors.

Known for heavily investing in Tesla, Inc. (TSLA.US), "Wood Sister" Wood has recently made some changes to her fund's operations. According to trading records disclosed on Wednesday, her flagship investment firm Ark Investment Management is continuing to reduce its holdings of Tesla, Inc. stocks, while noticeably increasing its position in the recently added semiconductor giant Broadcom Inc. (AVGO.US). Trading documents show that ARK Next Generation Internet ETF (ARKW.US), after initiating a position last week, further increased its stake in Broadcom Inc. by adding 31,308 shares, bringing its total holdings to 62,545 shares. At the same time, ARK Innovation ETF (ARKK.US) also bought 111,781 shares of Broadcom Inc., establishing a position in the chip manufacturer. This increase in holdings coincides with a pullback in Broadcom Inc.'s stock price. On Wednesday, amidst a general selloff in tech stocks, Broadcom Inc.'s stock price dropped by 4.2%, but quickly rebounded, closing at $343.02 on Thursday, up over 0.9%. ARK's decision to add to its position at a lower price is seen by the market as a positive outlook on the long-term prospects of semiconductors and AI. In contrast, ARK Innovation ETF sold 86,139 shares of Tesla, Inc. during the same period. However, this does not mean that ARK is completely divesting from Tesla, Inc., as the stock remains one of the largest holdings in multiple ARK funds. Data shows that as of Thursday, ARK Innovation ETF still holds about 1.7285 million shares of Tesla, Inc., accounting for nearly 10% of the fund's assets. Since the beginning of 2026, Tesla, Inc.'s stock price has experienced significant fluctuations. On Wednesday, CEO Musk announced that Tesla, Inc. will switch its full self-driving software to a monthly subscription model only, causing the stock price to drop by 1.8% on that day. In addition, ARK also made other adjustments in the chip sector. ARK Next Generation Internet ETF sold 19,310 shares of Taiwan Semiconductor Manufacturing Co., Ltd. Sponsored ADR (TSM.US) before the company released its financial report, and after the transaction, it still holds about 164,437 shares, with a market value of about $53.8 million, ranking as the 13th largest holding in the fund. Taiwan Semiconductor Manufacturing Co., Ltd. Sponsored ADR later reported fourth-quarter results that significantly exceeded market expectations and provided strong capital expenditure guidance for 2026, reigniting confidence in the long-term AI cycle and leading to a general rise in related sectors, with Taiwan Semiconductor Manufacturing Co., Ltd. Sponsored ADR's stock price rising by about 5.4% on Thursday. In the fintech sector, ARK Fintech Innovation ETF bought 56,993 shares of Klarna Group (KLAR.US). This "buy now, pay later" service provider went public at the end of last year. The ETF achieved a return of about 29% in 2025, significantly outperforming the Nasdaq Composite Index, which rose by about 20% during the same period.