Cathie Wood, CEO of Ark Investment Management, likes to trade during pay season.
Sometimes, Wood adds or sells shares shortly after his earnings. Sometimes, he makes a move days before the results, betting on the potential benefits. That’s what he just did, buying shares of the megacap technology company ahead of its earnings next week.
Through 2025, the flagship Ark Innovation ETF has gained 35.49%, far outpacing the S&P 500’s return of 17.88% over the same period. So far this year, Wood’s flagship Ark Innovation ETF (ARKK) is up 1.84% year to date, while the S&P 500 is up 4.27%, Yahoo Finance data shows.
Wood gained notoriety after the Ark Innovation ETF delivered a 153% return in 2020. But his style has also brought painful losses to bearish markets, as seen in 2022, when the Ark Innovation ETF dropped more than 60%.
Those swings weighed on Wood’s long-term gains. As of April 21, the Ark Innovation ETF delivered a five-year return -8.52%while the S&P 500 has annual returns 12.73% at the same time, according to data from Morningstar.
Wood focuses on high-tech companies across artificial intelligence, blockchain, biomedical technology, and robotics. He thinks these businesses have strong potential for growth, although their volatility often creates fluctuations in the Ark’s finances.
From 2014 to 2024, the Ark Innovation ETF moved $7 billion in investor wealth, according to a March 2025 study by Morningstar analyst Amy Arnott. That made it the third-biggest wealth destroyer among mutual funds and ETFs in Arnott’s ranking. The analyst has not yet revised the 2025 rate exit.
In a March Bloomberg podcast, Wood argues that the global economy is not entering a recession, but rather what he calls a “massive acceleration” driven by AI and other breakthrough technologies.
“We’re not going into a Great Depression, we’re going into a recession,” Wood said, pointing to how past technological revolutions have reshaped economic growth.
Related: Cathie Wood buys $2.5 million in falling megacap stock
He noted that real world GDP growth was just 0.6% between 1500 and 1900, before the Industrial Revolution boosted it to around 3% for over a century. Now, he says, a new wave of innovation may drive even higher growth.
“We think [technologies] we will grow to 7% to 8%,” said Wood, adding that this number may be refining.
Wood also noted that AI is reducing costs across industries.
“This technology is slowing down,” he said. “AI training costs drop by 75% per year, while inference costs drop by 85% to even 98% per year.”
In a book published in January, Wood rejects the term “AI bubble,” saying it is “many years away” and “the biggest spending cycle in history” is coming.
“What was once a limit to spending appears to be a low point now that AI, robotics, energy storage, blockchain technology, and multiomics sequencing platforms are ready for prime time,” he said.
But not all investors agree with Wood’s optimism. In the 12 months through April 21, the Ark Innovation ETF saw about $1.12 billion in net outflows, according to data from ETF research firm VettaFi.
On April 21, Wood’s Ark Space & Defense Innovation ETF bought 3,492 shares of Amazon.com, Inc. (AMZN), according to Ark’s daily trading information. These shares are worth an estimated $891,717 based on the latest closing price of $255.36.
Amazon shares have risen more than 24% in the past month, driven by optimism surrounding Amazon Web Services (AWS), now the company’s AI hub, and a broader market rebound following the ceasefire between the US and Iran.
The e-commerce giant is expected to report its first-quarter 2026 earnings next Wednesday (April 29).
Related: Morgan Stanley resets Intel stock price ahead of earnings
In the fourth quarter of 2025, AWS sales jumped 24% year over year to $35.6 billion, the fastest growth in 13 quarters. The division generated $12.5 billion in operating income, making up nearly half of the company’s net income.
Bank of America raised its price target on Amazon stock to $298 from $275 before earnings, according to an April 20 research note posted to TheStreet. The bank has a buy rating on Amazon shares.
“We continue to see Amazon well-positioned to benefit from growing corporate demand for AI capabilities,” wrote Bank of America analysts led by Justin Post.
Analysts are expecting a wave of AWS data points that point to improving capacity and a stronger industry position compared to 2025.
This week, Amazon announced plans to invest up to $25 billion in Anthropic as part of an expanded deal to build AI infrastructure.
In February, Amazon revealed a $50 billion investment in OpenAI, Anthropic’s biggest competitor. That same month, Amazon said it expects $200 billion in investments this year, most of which will be in AI infrastructure.
“With such strong demand for our existing offerings and general opportunities like AI, chips, robots, satellites orbiting the earth, we expect to invest approximately $200 billion in capital expenditures across Amazon by 2026, and we expect a strong long-term return on investment,” Amazon CEO Andy Jassy said in a statement.
Amazon is not a top 10 holding of the Ark Space & Defense Innovation ETF or the Ark Innovation ETF.
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Tesla (TSLA) 9.66%
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CRISPR Therapeutics (CRSP) 6.35%
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Tempus AI (TEM) 5.22%
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Advanced Micro Devices (AMD) 4.75%
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Shopify (SHOP) 4.64%
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Robinhood Markets (HOOD) 4.55%
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Coinbase Global (COIN) 4.33%
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Roku (ROKU) 4.15%
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Circle Internet Group (CRCL) 3.98%
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Beam Therapeutics (BEAM) 3.78%
Besides buying Amazon shares, Wood’s latest moves include buying 24,614 shares of Kratos Defense & Security Solutions (KTOS), 4,625 shares of DoorDash (DASH), while selling 81,422 shares of Iridium Communications (IRDM).
Related: Warren Buffett dumped 77% of Amazon to buy growing media stock
This story was originally published by TheStreet on April 22, 2026, where it appeared first in the investing category. Add TheStreet as a favorite source by clicking here.
