Cathie Wood buys $27.9 million of surging megacap stock

Cathie Wood, head of Ark Investment Management, often buys her favorite tech stocks when she sees a new opportunity. That's what she did last week, pouring $27.9 million into Meta Platforms (META) as the company pushes deeper into AI. Last year, the flagship Ark Innovation ETF gained 35.49%, far outpacing the S&P 500's return of 17.88% in the same period. So far this year, Wood's flagship Ark Innovation ETF (ARKK) is up 8.66% as of writing, while the S&P 500 surged 11.85%, Yahoo Finance data shows. Wood gained a reputation after the Ark Innovation ETF delivered a rosy 153% return in 2020. But her style also brings painful losses in bearish markets, as seen in 2022, when the ETF tumbled more than 60%.