Tesla Backer Ark Invest Bets on Baidu

Ark Invest, known for backing Tesla, held nearly $600 million of Baidu shares as of November.
Shirley TianJan 13,2021,22:36

Baidu’s announcement of delving into the smart electric vehicles space got the interest of Cathie Wood and her team at Ark Invest. The company bought nearly 400,000 shares of Baidu (Nasdaq: BIDU) across its ARKK, ARKQ, and ARKW ETFs on Monday.

As of Nov. 11, three of Ark Invest's funds held more than 2.7 million Baidu shares, with a market value of nearly $600 million.

The stock in Baidu has climbed over 14% since the beginning of 2021. Wednesday, BIDU shares closed at $236.94 per American depositary share.

Wood is most known for her ultra-bullish call on Tesla (Nasdaq: TSLA). In China, they call her the female Warren Buffett, while local newspapers follow her every major investment.

According to Bloomberg, her $21.4 billion flagship Ark Innovation ETF (ARKK)’s biggest holding right now is electric vehicle maker Tesla.

Currently, ARK is the eleventh largest issuer with total assets of nearly $40 billion, according to The Street.

Last week, Baidu announced its partnership with Geely Automobile Holdings Ltd. (OTC: GELYF; HKEX: 00175) to make electric vehicles for China.

Under the deal, Baidu will provide in-vehicle software and Geely will offer engineering technology, with the new car to be produced at Geely's factories. The two will also work together on Geely's new EV platform.

Topics:Electric Cars