Cathie Wood Engages in Discount Shopping: Three Stocks She Recently Purchased
Cathie Wood, renowned CEO and primary stock picker at Ark Invest, is aiming for market leadership in 2025. Kicking off the new year, Wood added to her stakes in Amazon, GitLab, and Pacific Biosciences of California. Let's delve into the details of Ark's recent investments.
1. Amazon
Amazon, the e-commerce titan, faced initial skepticism as its stock hit an all-time high. Despite a 44% surge in 2024, its advance in net sales only reached 11%. However, recent analyst opinions suggest the shares are poised for further growth.
Scott Devitt from Wedbush upgraded Amazon's price target from $250 to $260, positioning it as a top pick for 2025. Amazon's trailing net sales growth may not impress, but Devitt anticipates a 24% increase in operating profit in the year ahead. This anticipation underscores the expectation of widening Amazon's margins, curbing investor concerns about its surprisingly modest net sales growth.
2. GitLab
GitLab's stock likewise witnessed a boost at the start of 2025, coming off a 10% decline in 2024. This resilience stems from strong financial performance and positive analyst sentiment.
Three consecutive quarters of double-digit revenue growth and five straight quarters of surpassing earnings estimates have kept investors optimistic. Furthermore, a new CEO appointment has added fresh momentum to GitLab's expansion in the highly competitive DevOps market.
3. Pacific Biosciences of California
Investor disappointment was evident in Pacific Biosciences of California's stock price decline by 81% in 2024. Despite the challenges, Cathie Wood remains a staunch believer in the company's gene sequencing potential for medical advancements. The company's long-term prospects inspire confidence, despite the ongoing industry competition and previously negative revenue growth.
In summary, recent analyst expectations for Amazon and GitLab's stock prices are favorable, while Pacific Biosciences of California's future direction relies on the company's ability to overcome competition and achieve solid revenue growth to recover from its recent declines.
Cathie Wood's decision to invest further in Amazon signifies her belief in the company's potential for even higher growth, given the positive analyst assessments and the expectation of improved profit margins. (finance, investing, money)
In the context of her strategy to attain market leadership, Cathie Wood's decision to invest in Pacific Biosciences of California indicates her confidence in the company's gene sequencing technology, despite the challenges it faces. (finance, investing, money)
