Cathie Wood Led Ark Invest Buys Block Inc Shares Amid 15% Price Plunge
- The prices of the stock fell 15% amid the recent Hindenburg report.
- Regarding the number of Block Inc. shares held, Ark Invest is among the top 10.
On Thursday, March 23, in the wake of the short seller report by Hindenburg Research, Block Inc. (NYSE: SQ) stock was bought in large quantities by Ark Investments founder and CEO Cathie Wood. The prices of the stock fell 15% amid the recent Hindenburg report on Jack Dorsey-led Block.
Ark bought about 338,000 shares of Block on Thursday, as shown by the company’s daily trading statistics. Three of Ark Investment Management LLC’s ETFs were used to make the investment. These investments were made yesterday by the ARK Innovation ETF, the ARK Fintech Innovation ETF, and the ARK Next Generation Internet ETF.
By the end of 2022, Jack Dorsey’s Block Inc., which enables cryptocurrency and digital payments, had more than $220 million in Bitcoin reserves. Formerly known as Square, the corporation has been devoted to cutting-edge digital payments.
Cathie Optimistic Despite Decline
Regarding the number of Block Inc. shares held, Ark Invest is among the top 10. Cathie Wood is well-known for taking calculated risks in her field. Notwithstanding the steep decline in the value of Coinbase (NASDAQ: COIN) shares over the last year, Ark Invest has maintained its stock purchases of the exchange.
According to Hindenburg Research’s short seller research, Block Inc. assisted con artists while profiting from government initiatives throughout the epidemic. To the tune of $1 billion, Hindenburg claims Block engaged in fraudulent activity.
After the fact, Block Inc. released a statement saying it will collaborate with the U.S. Securities and Exchange Commission (SEC) and pursue legal action against Hindenburg for the inaccurate report on its Cash App business. That the Hindenburg report on Cash App was “factually inaccurate and misleading” was one of its main claims. In addition, Hindenburg is attempting to “deceive and confuse investors,” the report said.
