An organized place to discuss:
- 📈 ARK ETFs and Trades
- 🏦 ARK Portfolio Companies
- 🥇 Investable Disruptive Technologies
- 📰 Member Research
What we're about
People in this community realize four things.
One There always are, have been, and will be companies that heavily outperform the market on 1, 5 and 10 year timelines. Outperforming to an extent that they are labeled statistical outliers.
Two Those outlier companies are almost always pioneers of a new industry or technology.
Three Cathie Wood and the ARK Invest team are the tip of the spear. They provide a list of opportunities that you can invest in as a bucket (the Ark ETFs) or you can go off and decide which ones you personally have the highest conviction on.
Four If you want to retire in ten years, this is probably your best shot. This is most certainly not a guarantee that joining Cathie’s Ark will get there and it never will be. But the safe dividends of 3M, Citibank, and Exxon Mobil are a guarantee that you won’t.
You choose your own level of risk. Maybe you want to dabble in future tech by adding the Ark ETFs to your portfolio. Or maybe you want your whole portfolio to be future tech. Either way, this is what the Cathie’s Ark community is for.
We share ideas, research, knowledge, and news about the companies and ETFs involved in the ARK ecosystem. We’re supportive and excited for everyone that can win with us. And though we realize that the markets are individually zero-sum, we also know that on a small scale aggregate like Cathie’s Ark it is possible for everyone to walk away a healthy winner in ten years time. Maybe not as much as the next person 😏 but enough to make our time spent worthwhile.
What we're not about
This is not a place for quick trade ideas, buy and sell lists, "the play of the day", or posting your daily profit and loss. While many members are active traders and do shares trade ideas this is more about knowledge and better understanding of the companies and technology in the ARK portfolio. Sometimes we do have good discussion around trade strategy and wisdom, but we aren't hunting the quick gamble.
If the bold sentence above sounds more like what you're looking for we recommend StockTwits, Reddit, or Twitter.
So with that out of the way... there are over 4,600 members, with the number growing each day. It’s pretty great, you should check it out!
What you'll get
- 📅 Exclusive access to Trades and Storylines (See below) which provides in-depth color on the daily ARK trade report
- 🔑 30-day Members-Only Access to major posts (See below) and research from Cathie's Ark
- ⭐️ An incredibly smart community that provides daily insight on ARK and the companies in the ARK portfolio
📅 Snipped from the Trades and Storylines:
January 11, 2022 - TSP (TuSimple) has reported a successful completion of it's first "driver out" run on the highways of Arizona. This was a test run with no driver in the truck...
"The autonomous driving test was 100% operated by TuSimple's ADS without a human on-board, without remote human control of the vehicle, and without traffic intervention."
The drive finished before their self-imposed deadline of January 1. Even with that accomplishment though, the stock has lost about 35% of it's value since the announcement.
TuSimple has also announced a partnership with DHL for 100 trucks that are supposed to be delivered by 2024. This adds to the partnership slateas TSP already has a partnership with UPS who not only partnered with but also invested in the company.
ARK owns 4.7% of the company. It's the 31st largest holding in the portfolio.
January 8, 2022 - DOCU (Docusign) sees big chunks of the position sold off. This looks like it's on it's way to a full liquidation as more than 75% of the total position has been sold.
There has been no particular news. And, from what I'm looking at in terms of leadership out of DOCU in the eSignature space, not much has changed. One metric, Google Trends, still shows Docusign as the leader in this search area...
Of course, that's not enough to base an investment decision on. But it is something to think about.
December 15, 2021 - RBLX (Roblox) released it's November user data yesterday. It was poorly received and lead to a 12% decline in the stock.
- 49.4 million DAUs, representing an increase of 35% year over year
- Users spent 3.6 billion hours on the platform in November alone for an increase of 32% over the year-ago period.
These numbers, however, are a deceleration from the past few months and now show a declining trend through three quarters...
"The most important outcome of slowing engagement trends is how it impacts user monetization, since the more time spent on the platform is supposed to correlate to higher sales of Robux, the virtual currency used to unlock new experiences on the platform.
Roblox estimates that revenue grew between 84% and 87% year over year, but average bookings (a non-GAAP measure of revenue) per user declined between 8% and 9%.
This shows a negative trend taking shape. Average bookings per user fell 2% during the third quarter, which followed an increase of 4% in the second quarter, and a 46% increase in the first quarter."
With all that being said, I would wait to see how this pandemic boom-bust cycle plays out before I would be concerned. Remember just how much people were moving around this past four months...
For now, ARK remains a big shareholder after adding it to the flagship ARKK. Certainly this came with the metaverse idea in mind.
December 12, 2021 - ROKU (Roku) saw an 11% price drop today after an analyst downgrade from Morgan Stanley cut their price target from $295 to $190. JP Morgan also downgraded, but from $425 to $315.
To add insult to injury, Wednesday also saw an IP lawsuit from Universal Electronics (ticker: UEI) ruled against Roku. It doesn't appear the IP lawsuit will be a huge loss for ROKU. The products it covers appear to be fringe and not big contributors to top or bottom line...
"Benchmark analyst Daniel Kurnos said he expects Roku shares will trade lower on the news, but his review of the ruling leads him to believe the financial impact to Roku may be more limited in scope than the headlines suggest. The analyst thinks the ITC limited exclusion order and a cease-and-desist order to Roku applies to the Roku Ultra and Roku Soundbar, and believes TVs and streaming sticks "do not appear to be at issue, despite the ominous headline."
On the downgrade fronts the analysts cited concern for account growth as the world normalizes from the pandemic. A secondary but equal concern was supply chain problems not allowing Roku to manufacture and sell the devices it needs to provide it's service.
This supply chain/hardware situation highlights the difference between a company like Netflix and Roku. Netflix is pure software that rides on the back of hardware like Roku and Smart TVs. Not a value judgment on my part but this situation provides a clear view into the difference between being pure software and being supply chain dependent.
ARK added about 1.5% to the total position. It remains the fourth largest holding in the portfolio.
December 3, 2021 - PLTR (Palantir) sees some sales but ARK's recent comments say they're not concerned...
"When companies think about this sort of database operating system for their organization, they have a couple decisions to make. And the first decision is, do they want to build that in-house or do they want to license a third-party solution?
We were starting to increasingly see companies lean towards licensing a third-party solution instead of spending years and millions of dollars on their own engineers to actually build something in-house, they can instead buy a solution like Palantir off the shelf.
And so we're starting to see the trend shift towards licensing an existing solution versus building their own. And when we look at Palantir, we're excited about the future opportunity."
The position remains very much in play but we put this in the bearish area as the sales come well below ARK's cost average.
✍🏼 Recent Posts and Research: