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Cathie Wood Bought $53.5 Million of Tesla Stock Right After Elon Musk's Post-Earnings Sell-Off. Is a Rebound Coming?
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The Motley Fool
Tesla's stock fell sharply following its earnings release, but some famous names on Wall Street, including Cathie Wood, saw the dip as a buying opportunity.
Wood's firm, Ark Investment Management, bought Tesla stock on more than one occasion after the earnings-related drop, purchasing about $53.5 million in shares as of writing.
Buying Tesla stock right now, expecting a rebound over the next six months (or so), likely isn't a wise move.
Its robotaxi business could become a significant source of revenue and higher margin profits than the sale of electric vehicles.
Also, as management's recent comments highlight, the company's robotaxi business faces risks.