(Bloomberg) -- Cathie Wood extended her bet on Dutch payment processing company Adyen NV just after a growth slowdown sent the stock down by almost half to its lowest level in three years.
A daily trading report from Wood’s ARK Investment Management showed that two of the firm’s exchange-traded funds snapped up Adyen stock on Monday, worth about $9 million based on closing prices. One added nearly 2,900 Amsterdam-listed shares, while another bought about 733,000 American depositary receipts, which trade over the counter in the US.
The purchases mark ARK’s biggest daily investment in Adyen this year. The two funds had loaded up on the shares last month, only for the stock to plunge after first-half results that missed analyst estimates at pretty much every level.
READ: Adyen Is Still Expensive After $23 Billion Meltdown: Tech Watch
Adyen shares fell about 1% in Amsterdam trading on Tuesday, on track for an eighth straight day of declines.
ARK’s investments in Adyen can be traced back to 2019, when its ARK Fintech Innovation ETF fund first disclosed a position, according to a Securities and Exchange Commission search tool. Including shares owned by the ARK Next Generation Internet ETF, the firm held shares in the company worth about $37.7 million as of Monday.
Both funds have surged about 40% this year amid a rally in technology stocks, slightly ahead of the Nasdaq 100 Index’s 37% gain.
Wood and ARK are well known for their high conviction bets, and frequently pounce on pullbacks in their top picks to increase holdings. The firm’s daily trading isn’t exhaustive, but it does represent the decisions taken by ARK’s portfolio managers.
A representative of ARK declined to comment on trading activities.
--With assistance from Subrat Patnaik.
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