In this article, we will take a look at the 5 tech stocks to sell now according to Cathie Wood. To read our analysis of the recent trends and market activity, you can go to the 11 Tech Stocks to Sell Now According to Cathie Wood.
5. Perion Network Ltd (NASDAQ:PERI)
Percentage of Stake Sold by ARK Investment Management in Q2 2023: 34%
Number of Hedge Fund Holders: 23
Tel Aviv, Israel-based Perion Network Ltd (NASDAQ:PERI) is a global multi-channel advertising technology company that delivers synergistic solutions across all major channels of digital advertising – including search advertising, social media, display, video, and CTV advertising.
On August 2, Perion Network Ltd (NASDAQ:PERI) released its financial results for Q2 2023. Its revenue increased by 22% y-o-y to $179 million, while net income increased by 10% y-o-y to $21 million. At $0.84, its normalized EPS for the quarter exceeded consensus estimates by $0.18.
Following the earnings release, Oppenheimer raised the price target on Perion Network Ltd (NASDAQ:PERI) shares to $45 from $44 and maintained an ‘Overweight’ rating on the shares.
4. Mobileye NV (NYSE:MBLY)
Percentage of Stake Sold by ARK Investment Management in Q2 2023: 34%
Number of Hedge Fund Holders: 36
Founded in 1999, Jerusalem-based Mobileye NV (NYSE:MBLY) is an autonomous-driving and driver-assist technologies company with expertise in computer vision, machine learning, mapping, and data analysis. To date, more than 150 million vehicles worldwide have been built with Mobileye technology inside.
Following a strong quarterly performance in Q2 2023, RBC Capital raised the price target on Mobileye NV (NYSE:MBLY) shares to $48 from $42 while maintaining an ‘Outperform’ rating. The target price represents a potential upside of 31% based on the latest share price.
As of Q2 2023, Mobileye NV (NYSE:MBLY) shares were held by 36 hedge funds, with the total shares held by these hedge funds valued at $609 million.
3. Align Technology, Inc. (NASDAQ:ALGN)
Percentage of Stake Sold by ARK Investment Management in Q2 2023: 36%
Number of Hedge Fund Holders: 35
Tempe, Arizona-based Align Technology, Inc. (NASDAQ:ALGN) a leading global medical device company that designs, manufactures, and sells the Invisalign® System of clear aligners, iTero™ intraoral scanners, and exocad™ CAD/CAM software for digital orthodontics and restorative dentistry.
On July 26, Align Technology, Inc. (NASDAQ:ALGN) released its financial results for Q2 2023. It generated a revenue of $1.0 billion and a net income of $112 million during the quarter which translates to a normalized EPS of $2.22, $0.18 more than the consensus estimates.
On August 30, HSBC initiated coverage of Align Technology, Inc. (NASDAQ:ALGN) shares with a price target of $450 and a ‘Buy’ rating. The price target represents a potential upside of 20% based on the latest share price.
2. Shopify Inc. (NYSE:SHOP)
Percentage of Stake Sold by ARK Investment Management in Q2 2023: 37%
Number of Hedge Fund Holders: 74
Shopify Inc. (NYSE:SHOP) is a leading provider of internet infrastructure for commerce, offering tools to start, grow, market, and manage a retail business of any size. Its platform and services are used by millions of businesses across 175 countries.
Cathie Wood’s ARK Investment Management reduced its stake in Shopify Inc. (NYSE:SHOP) by a whopping 37% in Q2 2023 which has brought its ownership to 8.9 million shares, valued at $573 million.
As of Q2 2023, Shopify Inc. (NYSE:SHOP) shares were owned by 74 prominent hedge funds tracked by Insider Monkey, with the total shares held by them valued at $3.9 billion. Even after shedding a significant portion of its stake, ARK Investment Management was among the top 5 hedge fund shareholders of the company.
1. Surface Oncology, Inc. (NASDAQ:SURF)
Percentage of Stake Sold by ARK Investment Management in Q2 2023: 75%
Number of Hedge Fund Holders: 6
Cambridge, Massachusetts-based Surface Oncology, Inc. (NASDAQ:SURF) is a clinical-stage immuno-oncology company focused on the development of next-generation therapies to help patients suffering with cancer.
On June 16, Coherus BioSciences, Inc. (NASDAQ:CHRS) and Surface Oncology, Inc. (NASDAQ:SURF) announced that the companies have entered into a definitive merger agreement under which Coherus BioSciences, Inc. (NASDAQ:CHRS) will acquire the latter in an all-stock transaction which values the target company at nearly $65 million.
Surface Oncology, Inc. (NASDAQ:SURF) ranks #1 on our list of 11 tech stocks to sell now according to Cathie Wood as ARK Investment Management sold nearly 75% of its stake in the company during Q2 2023. The fund only owned 1.4 million shares of the company valued at $1.2 million, at the end of the quarter.
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