Cathie Wood’s ARK Invest added $13.9 million worth of Circle shares on Tuesday, extending its July buying spree to 725,517 shares amid a steep stock decline.
Cathie Wood’s ARK Invest is doubling down on its bet on USDC issuer Circle even as the company’s stock remains under pressure.
ARK bought another 220,000 shares of Circle Internet Group (CRCL) across three of its actively managed exchange-traded funds on Tuesday, according to the company’s daily trade disclosure reviewed by Cointelegraph.
Based on Circle’s Tuesday closing price of $63.22 on the New York Stock Exchange, ARK’s latest purchase was worth about $13.9 million.
Circle shares were down about 22% year-to-date and roughly 76% below their post-initial public offering (IPO) peak.
ARK’s latest buy brought its disclosed July acquisitions of Circle shares to 725,517, following previous buys of 287,609 shares on July 1 and 217,896 shares on July 9.
The latest trade disclosures show ARK has consistently added to its Circle position across its flagship funds despite the stock’s prolonged decline, underscoring the investment manager’s conviction in the USDC issuer.
As of Wednesday, Circle accounted for 4.37% of the ARK Fintech Innovation ETF (ARKF), making it the fund’s seventh-largest holding. ARKF’s Circle position was valued at about $33 million, according to its latest holdings data.
Related: USDC issuer Circle wins final approval for US national trust bank charter
Circle also represented 3.35% of the flagship ARK Innovation ETF (ARKK), where it ranked as the fund’s ninth-largest holding, worth about $218 million.
ARK’s latest purchase came as analysts reassessed Circle’s outlook following a sharp decline in the company’s stock price.
Digital asset research platform 10x Research said it no longer considers Circle a buy after the stock fell back below $80. In a report published Tuesday, the company said it previously viewed CRCL as attractive below that level but now says Circle’s fundamentals have “meaningfully deteriorated.”
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