Ark goes shopping in Nvidia, dumps Palantir

Ark’s latest coin flip: Nvidia up, Palantir out

Cathie Wood’s Ark Invest spent Monday doing what it does best: making a very loud bet on growth names while everyone else was busy watching the market wobble. The firm bought 122,422 shares of Nvidia, worth roughly $26.6 million, and at the same time sold 11,525 shares of Palantir for about $2 million.

Why Nvidia got the love

Nvidia is still the heavyweight champ of AI chips, and Ark clearly isn’t ready to step off the ride. Counterpoint Research says Nvidia chips power 92% of sovereign large language models across more than 80 countries, which is a fancy way of saying the company remains glued to the center of the AI conversation.

For investors, that matters because every big buy like this reinforces the same old market question: is Nvidia still the kingmaker, or is the market already pricing in perfection? On Monday, the stock slipped 2.86% to $217.55, which basically gave Ark a discount rack moment.

Palantir gets a little less hype

Palantir, meanwhile, has been on a wild swing lately — down in premarket, then bouncing back, after a massive 38% run the week before. Ark’s sale doesn’t mean doom and gloom, but it does suggest the firm was willing to trim after a big move instead of chasing the last mile of the rally.

Big picture: Ark isn’t exactly known for subtlety. When it buys Nvidia and sells Palantir on the same day, it’s basically saying the AI trade still has legs — but not every name deserves the same amount of moon fuel.