Cathie Wood Buys $12.4 Million Of CoreWeave Stock As Analyst Warns Of Equity Wipeout, Ark Sells Palantir Shares

On Wednesday, Cathie Wood-led Ark Invest purchased shares of CoreWeave Inc. (NASDAQ:CRWV), Cerebras Systems Inc. (NASDAQ:CBRS) and Meta Platforms Inc. (NASDAQ:META), while trimming Palantir Technologies Inc. (NASDAQ:PLTR).

The CoreWeave Trade

Ark purchased 145,319 CoreWeave shares through the ARK Innovation ETF (BATS:ARKK) and another 43,346 shares through the ARK Next Generation Internet ETF (BATS:ARKW).

The combined purchase totaled 188,665 shares, a trade worth approximately $12.4 million, based on Wednesday’s closing price of $65.78.

D.A. Davidson analyst Gil Luria warned that CoreWeave shareholders could face an equity wipeout if the AI spending boom faltered. He argued that the company’s borrowing costs exceeded its investment returns, leaving it vulnerable to a slowdown.

CoreWeave reported $640 million in second-quarter net interest expense and a $626 million net loss. Its combined debt and lease obligations stood at approximately $52 billion at June’s end.

Co-founder Brannin McBee defended the borrowing as supporting expansion and said nearly all its 2027 capacity was sold. Luria’s warning described a downside scenario rather than his formal forecast; D.A. Davidson’s latest cited rating was Neutral with a $100 price target.

The Cerebras Trade

Ark bought 44,689 Cerebras shares through ARKK. Based on Wednesday’s closing price of $141.48, the purchase was worth approximately $6.3 million.

The firm had purchased 67,362 shares through ARKW on Tuesday, worth approximately $10 million using that day’s $149.09 closing price.

Cerebras’ IPO lock-up schedule provided for up to 19.4 million shares to become eligible for sale Wednesday. Eligibility does not mean those shares were sold.

The previous release of a similarly sized tranche occurred Sept. 30, when the stock fell 8.9%. Cerebras also faced questions about its OpenAI partnership following a SemiAnalysis report about Nvidia hardware powering a new OpenAI offering.

Sam Altman subsequently reaffirmed the relationship. Cerebras has a multiyear agreement worth more than $20 billion to supply OpenAI with 750 megawatts of computing capacity.

The Meta Platforms Trade

Ark purchased 9,577 Meta shares through ARKW, a trade worth approximately $7.1 million, based on Wednesday’s closing price of $737.54.

The purchase followed Tuesday’s addition of 22,734 shares, worth approximately $17.3 million at that session’s $762.50 closing price.

CEO Mark Zuckerberg recently defended Meta’s substantial AI investment commitments, recounting discussions about spending $100 billion to $200 billion on its ambitions.

He highlighted the Prometheus computing cluster in Ohio, scaling beyond one gigawatt, and the planned Hyperion cluster in Louisiana, expected to reach five gigawatts.

Zuckerberg said Meta’s profitable core business and access to credit could support the investments, while premium subscriptions and AI tools for small businesses offered potential revenue streams.

The Palantir Trade

Ark sold 22,035 Palantir shares through ARKK and another 9,397 shares through ARKW. The combined sale totaled 31,432 shares, worth approximately $6.3 million, based on Wednesday’s closing price of $200.97.

Palantir had reached a fresh intraday record of $212.94 on Monday, recovering from a nearly 49% decline between its November 2025 peak and June low.

Goldman Sachs upgraded the company to Buy from Neutral on Oct. 8, setting a $230 price target. Analyst Gabriela Borges highlighted opportunities tied to sovereign AI, customized applications and industry-specific offerings.

Palantir’s second-quarter revenue rose 93% year over year, and the company raised its annual revenue forecast. Its third-quarter results are scheduled for Nov. 9.

Other Key Trades

• Toast Inc. (TOST): ARKF and ARKW sold a combined 337,473 shares.
• Shopify Inc. (SHOP): ARKK and ARKW sold a combined 25,605 shares.
• DraftKings Inc. (DKNG): ARKF and ARKW sold a combined 2,601 shares.
• Kodiak AI Inc. (KDK): Ark purchased 500,457 shares through ARKQ.
• Freenome Inc. (FRNM): Ark bought 110,037 shares through ARKG.
• Personalis Inc. (PSNL): Ark sold 693,049 shares through ARKG.
• 10x Genomics Inc. (TXG): Ark sold 113,555 shares through ARKK.
• Twist Bioscience Corp. (TWST): Ark sold 19,399 shares through ARKK.

Benzinga Edge Stock Rankings indicate Coreweave stock has a Momentum score in the 8th percentile.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Photo Courtesy: ChrisStock82 on Shutterstock.com