Cathie Wood, the founder of investment management firm Ark Invest, is one of today’s most influential investors. Wood’s popularity was primarily tied to her portfolio’s impressive gains last year. Her flagship fund gained more than 150% in 2020.
The renowned investor believes that investing in innovation is the key to success. Her funds invest in companies with the potential for ‘disruptive innovation’ or those that can be the beneficiaries of disruptive innovation.
Wall Street analysts expect Wood’s holdings Coinbase Global, Inc. (COIN – Get Rating), Roku, Inc. (ROKU – Get Rating), and Teladoc Health, Inc. (TDOC – Get Rating) to rally by more than 40% in the near term. These stocks are among the top five stocks in the ARK Innovation ETF (ARKK – Get Rating) portfolio.
COIN provides financial infrastructure and technology for the crypto economy. It offers the primary financial account in the crypto economy for retail users. The company went public through the traditional IPO process on April 14, 2021.
COIN currently ranks fourth in the ARKK ETF with a 5.6% weightage. As of September 28, ARKK held 1,841,99 shares of the company.
On September 14, COIN declared the pricing of its Senior Notes due in 2028 and 2031, both with an aggregate principal amount of $1.0 billion each. The offerings are expected to bolster the company’s balance sheet performance, and the proceeds are expected to be used for investments in products or services, or acquisitions.
In the fiscal second quarter ended June 30, COIN’s total revenue increased 1,095.4% year-over-year to $2.23 billion. Net income came in at $1.61 billion, up 4,879.4% from the same period last year. Net income per share attributable to common stockholders stood at $6.42 for the period.
Street revenue estimate of $6.99 billion for the current year (fiscal 2021) indicates a 447.2% year-over-year rise. The stock has gained 6.4% over the past three months to close yesterday’s trading session at $250.38.
Out of the 16 Wall Street analysts that rated COIN, 12 have rated it Buy while three have rated it Hold and one has rated it Sell. The 12-month median price target of $351.50 indicates a 40.4% upside potential. The price targets range from a low of $220 to a high of $500.
ROKU works as an online TV streaming platform in several countries. The company operates in two segments – Platform and Player. Its offerings include the Roku Platform, the Roku Channel, and Roku streaming devices.
ROKU currently ranks third in the ARKK ETF with a 5.8% weightage in the portfolio. As of September 28, ARKK invested in 95,295 shares of the company.
On September 30, ROKU partnered with Brazilian electronics company SEMP TCL to bringing ROKU TV models to Brazil. With this strategic partnership…
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