Cathie Wood purchases Tesla shares following earnings-driven stock decline

Cathie Wood's ARK Investment Management bought around 160,000 Tesla shares in July 2026, spending roughly $50 million. The purchase came after Tesla's stock dropped 15% in a single day following a weak earnings report. Tesla earned $0.33 per share, well below the expected $0.53. The company also reported very thin profit margins of 1.4% and negative free cash flow. Wood has long believed strongly in Tesla and kept her price target at $2,600 per share by 2029. ARK spread the purchases across several of its funds. During the same period, ARK also bought around $444 million in SpaceX shares while selling some Tesla stock from other positions.