Cathie Wood’s Ark Invest just made a big bet on SpaceX — buying $32 million worth of shares after the stock dropped 16% in a single day.
SPCX, SpaceX’s publicly traded shares, fell 16.43% to close at $154.60 on Monday. That wiped out most of the gains since its June 12 debut on the public market. The sell-off came amid broader market turbulence and concerns about SpaceX’s valuation relative to its revenue.
Ark’s purchase is a classic contrarian move — buy when others are panicking. The firm has a history of doubling down on high-conviction positions during downturns, and SpaceX has been one of its core holdings since before the public listing.
The $32 million buy is significant but not enormous for Ark, which manages several billion across its ETFs. Still, it signals confidence that SpaceX’s long-term trajectory — driven by Starlink revenue, Starship development, and its dominant position in commercial launch — remains intact despite short-term market jitters.
SpaceX’s public market debut has been rocky so far. The stock surged initially but has since pulled back as investors grapple with questions about profitability timelines and the company’s massive capital expenditure plans.
Whether Ark’s bet pays off depends on SpaceX’s ability to scale Starlink profitability and make progress on Starship. Both are ambitious, capital-intensive programs with uncertain timelines — but if anyone’s willing to wait it out, it’s Cathie Wood.
