ARK Investment Management Buys 1.1 Million Twitter Shares after Jack Dorsey’s Resignation

UTC by Daria Rud · 3 min read
ARK Investment Management Buys 1.1 Million Twitter Shares after Jack Dorsey’s Resignation
Photo: Depositphotos

According to ARK Investment Management, the company spent as much as $48.9 million on Twitter shares. In addition to buying Twitter shares, ARK Investment Management also invested heavily in online brokerage firm Robinhood Markets Inc.

Two days ago,  Twitter Inc (NYSE: TWTR) chief executive officer and co-founder Jack Dorsey stepped down from his executive role at the social media company. The reason for that is not yet clear, but it is expected that Twitter CTO Parag Agrawal would succeed Dorsey in the role. Following the announcement, Cathie Wood’s ARK Investment Management acquired 1.1 million Twitter shares.

Dorsey co-founded Twitter bak in 2006 and served as both the CEO of Twitter and Square Inc (NYSE: SQ), his digital payments company. He will remain a member of the board until his term expires at the 2022 meeting of stockholders.

After Jack Dorsey’s resignation, shares of Twitter lost in price, closing down 2.7% on Monday. On Tuesday, they further plunged by 1.84% and ended that trading session at $43.94. The company’s market cap is $35.135 billion. Year-to-date, the Twitter stock is 18.86% down.

According to ARK Investment Management, the company spent as much as $48.9 million on Twitter shares.

In addition to buying Twitter shares, ARK Investment Management also invested heavily in online brokerage firm Robinhood Markets Inc (NASDAQ: HOOD). Earlier, in October this year, we reported that Cathie Wood’s ARK Investment Management bought 836,000 Robinhood shares valued at that time a little over $32 million. Now, the company further expanded its portfolio. On Monday, ARK Investment Management acquired 915,063 shares, taking advantage of a pullback in shares. And yesterday, along with buying Twitter stock, it added 837,248 shares of Robinhood Markets Inc worth $21.7 million.

About the Activities of ARK Investment Management

ARK Investment Management is an investment management firm that offers portfolio management, financial planning, and advisory services. The firm is rooted in over 40 years of experience in investing in technologies that aim to deliver outsized growth as industries transform. Through its open research process, ARK aims to identify companies that are leading and benefiting from cross-sector innovations such as artificial intelligence, robotics, energy storage, DNA sequencing, as well as blockchain technology.

Led by Cathie Wood, ARK Investment Management is showing a big interest in Bitcoin (BTC) futures contracts. Besides, Ark Investment Management owns 8.3 million shares of Grayscale Bitcoin Trust (GBTC), with Bitcoin and Ether (ETH) making up a good percentage in Ark Invest’s portfolio.

ARK leader Cathie Wood is optimistic about cryptos. She believes that Bitcoin might reach $500,000 in the next five years. Notably, she said that if “institutional investors move into bitcoin and allocate 5% of their portfolios,” the value of a Bitcoin would rise to around $560,000 by 2026, based on current levels.

Business News, Investors News, Market News, News, Stocks
Daria Rud
Author Daria Rud

Daria is an economic student interested in the development of modern technologies. She is eager to know as much as possible about cryptos as she believes they can change our view on finance and the world in general.

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