Cathie Wood dumped $73 million of AMD and bought Nvidia stock: here's why

Cathie Wood's ARK Invest executed a notable portfolio rebalancing across its semiconductor holdings, divesting roughly $72.8 million to $74.5 million worth of Advanced Micro Devices (AMD) shares while purchasing approximately $53 million to $55.6 million of Nvidia stock, alongside roughly $20 million in Broadcom (AVGO). The reallocation follows Nvidia's exceptional fiscal second-quarter financial results, which demonstrated substantial revenue visibility with Data Center revenue surging 117% year-over-year to $89 billion and total revenue reaching $96.2 billion. While AMD delivered solid performance with record quarterly revenue of $11.5 billion, market analysts note that its Helios AI platform is still ramping up, leaving near-term earnings clarity behind Nvidia. Analysts remain constructive on the broader semiconductor space, with TD Cowen and Bank of America highlighting valuation upsides for Nvidia due to persistent chip supply constraints. ARK's strategic shift underscores an institutional preference for direct beneficiaries of data center expansion with immediate AI revenue realization.