Cathie Wood trims AMD, boosts Nvidia and Broadcom stakes

ARK Invest sold roughly $73 million of Advanced Micro Devices shares and used part of the proceeds to buy about $53 million of Nvidia stock on Aug. 28, filings show. The filings record an AMD disposal of about $74.5 million and a Nvidia purchase near $55.6 million. ARK also added roughly $20 million of Broadcom stock on the same day.

The trades came days after Nvidia reported fiscal second-quarter revenue of $96.2 billion, up 106% from a year earlier, with Data Center revenue of $89 billion, a 117% increase. Nvidia guided to roughly $108 billion of revenue for the next quarter and reported that demand exceeded available supply.

TD Cowen analyst Joshua Buchalter called Nvidia shares “materially undervalued” after the results and argued that, without supply constraints, customer demand could point to revenue nearly doubling. Bank of America analyst Vivek Arya had earlier assessed the stock as trading at a 34% to 50% discount to fundamentals while keeping a $350 target.

ARK founder Cathie Wood has a history of backing challengers to dominant firms. The Aug. 28 trades shifted part of ARK’s chip exposure toward businesses with more visible near-term AI revenue, according to the portfolio filings. The filings do not frame the AMD sales as a loss of confidence in the company.

AMD posted second-quarter revenue of $11.5 billion, up 50% year over year, and reported Data Center revenue that more than doubled. CEO Lisa Su said Helios, AMD’s rack-scale AI platform, was “beginning to ramp in the second half.” Industry observers noted investors are watching how quickly Helios can translate into larger AI revenue and whether guidance will accelerate adoption.

Goldman Sachs upgraded AMD to Buy in May, citing potential benefit from enterprise adoption of agentic AI that would increase demand for server CPUs and future data-center GPUs, while ranking Nvidia and Broadcom ahead on a relative basis.

The filings show ARK’s activity as a reallocation of semiconductor holdings ahead of expected increases in AI-related data center spending. Nvidia’s recent results provided immediate revenue visibility for some investors, while AMD’s product roadmap and early Helios shipments keep it positioned as a potential longer-term beneficiary of AI compute demand.