Key Highlights
- Ark Invest liquidated 215,643 shares of AMD valued at approximately $75M following a 70% surge in one month
- On April 24, AMD shares climbed 13.9% in response to Intel’s robust quarterly earnings
- Intel’s stock rallied 23% after revealing strong data center CPU demand fueled by AI infrastructure investments
- Despite the divestment, AMD holds its position as the third-largest component in Ark Innovation ETF with a $416M valuation
- D.A. Davidson elevated AMD to Buy rating, boosting price target from $220 to $375
Cathie Wood’s investment firm offloaded approximately $75 million in Advanced Micro Devices shares on April 24, capitalizing on AMD’s impressive near-70% appreciation over the preceding month.
Advanced Micro Devices, Inc., AMD
According to Ark Invest’s publicly disclosed trading records, the firm divested 215,643 AMD shares from its portfolio. The transaction was executed at a closing market price of $347.81 per share.
The divestment appears to be a classic profit-taking strategy. AMD continues to represent a substantial stake in the Ark Innovation ETF (ARKK), maintaining its status as the third-largest holding with approximately $416 million in market capitalization.
The catalyst behind AMD’s remarkable momentum came from Intel’s performance. The semiconductor giant delivered impressive first-quarter financial results and elevated forward guidance, highlighting accelerating demand for data center processors as enterprises increase AI infrastructure investments.
Intel’s stock soared 23% on April 24. That positive momentum created a spillover effect for AMD, which gained 13.9% during the same trading session.
During Intel’s earnings conference call, CEO Lip-Bu Tan stated emphatically: “The CPU is reinserting itself as the indispensable foundation of the AI era.”
Analyst Confidence Builds
Gil Luria, an analyst at D.A. Davidson, elevated AMD’s rating to Buy from Neutral while significantly raising the firm’s price objective to $375 from $220.
“We view Intel’s results as a precursor for a huge step-up for AMD’s CPU franchise,” Luria noted in his research. He identified structural demand from agentic AI workloads as a primary growth catalyst.
Both AMD and Intel have implemented multiple CPU price increases throughout the year, with typical hikes ranging from 10% to 15%, as reported by Nikkei Asia.
AMD is scheduled to announce its first-quarter financial results on May 5. Market participants are particularly interested in detailed breakdowns of AI-driven revenue streams.
Wood’s Strategic Vision
ARKK has declined 1.76% year-to-date, while the S&P 500 has advanced 4.67% during the identical timeframe.
Wood has been outspoken regarding her investment thesis. She anticipates that AI, robotics, and biotechnology will power what she characterizes as a “great acceleration” in worldwide economic expansion.
“We’re not going into the Great Depression, we’re going into the great acceleration,” she declared during a March interview on Bloomberg’s podcast.
She has also maintained that AI represents a deflationary force, referencing training expenses declining 75% annually and inference costs plummeting as much as 98% per year.
Despite this bullish perspective, ARKK has experienced approximately $1.12 billion in net capital outflows during the 12-month period ending April 21, based on data from ETF research provider VettaFi.
Over a five-year horizon, ARKK has generated an annualized return of -9.01%, compared to 13.01% for the S&P 500 benchmark.
GuruFocus assigns AMD a GF Value of $212.86, indicating the stock is trading at a 63.4% premium to its intrinsic valuation at current levels. Company insiders have sold $63.9 million worth of shares during the past three months.
AMD’s Q1 2026 earnings are scheduled for May 5
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