Cathie Wood Sells Nearly $6 Million Of Tesla Stock As EV Giant Starts Talks On India Factory

Cathie Wood and her Ark Invest firm sold off another tranche of its Tesla (TSLA) stock holdings Wednesday, unloading nearly 21,000 shares. Meanwhile, the global EV giant is reportedly in talks with the Indian government to set up a manufacturing plant in the country. Tesla stock edged up Thursday.

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Cathie Wood’s ARK Investment Management sold 20,874 shares of Tesla Wednesday for around $5.7 million, based on TSLA closing price of 271.99 according to the company’s daily trade disclosure. Wednesday’s Tesla sell-off was done through ARK Autonomous Technology and Robotics ETF (ARKQ).

After loading up on Tesla stock early in 2023 and watching shares run to 10-month highs, Cathie Wood has been selling Tesla stock in recent weeks.

Since June 12, Cathie Wood has sold more than 700,000 shares of Tesla stock. Before that Wood’s Ark firm had purchased more than 1.3 million TSLA shares.

As of July 13, Tesla stock was the top holding in the Cathie Wood ETF, with a 14.4% weight. Tesla is also the top holding in the ARK Innovation ETF (ARKK), with a 11.16% weight. TSLA is currently fifth in the ARK Next Generation Internet ETF (ARKW), with a 6.63% weight.

Tesla stock gained 2.1% to 277.81 Thursday during market trade. On Wednesday, shares advanced 0.8% to 271.99.

Cathie Wood: Tesla In India?

Meanwhile, the Times Of India reported Thursday that Tesla is in talks with the Indian government about a manufacturing plant with annual capacity to produce around 500,000 electric vehicles.

Tesla is also interested in exporting India-made vehicles to other countries in the region, according to the Times Of India.

Last month, Tesla Chief Executive Elon Musk signaled the global EV giant will likely make a sizable investment in India in the near future.

Late in June, Musk met with India’s Prime Minister Narendra Modi in New York City and afterward hinted to members of the press it’s “quite likely” Tesla would soon have a presence in the country.

“We don’t want to jump the gun on an announcement but it’s quite likely that there will be a significant investment and relationship with India in the future,” Musk said.

Tesla Stock: Earnings Upcoming

TSLA shares are up around 120% in 2023 and 164% from their Jan. 6 low. However, Tesla stock is still well off its all-time high of 414.50, hit in November 2021.

On June 2, Tesla cleared a 207.79 buy point from what’s either a cup or a double-bottom base. That was part of a record 13-session win streak for Tesla, with the last 12 coming on above-average volume. Shares paused in late June amid the broader market pullback but bounced from near the 21-day lines.

TSLA leapt 6.9% to 279.82 on July 3 following the strong Q2 delivery figures, clearing a brief pause to hit a nine-month high.

Tesla announces second-quarter financials on July 19. Last week, Tesla reported record global deliveries, as price cuts, tax credits and discounts propelled demand well above Wall Street forecasts.

Tesla deliveries ran to 466,140 in the second quarter, sprinting past Q1’s record 422,875 and Q4’s 405,278. That easily beat Q2 estimates of around 445,000, according to FactSet.

Model 3 and Y deliveries hit 446,915 in Q2. Model S and X deliveries picked up to 19,225.

Production hit 479,700, exceeding deliveries once again, even with Tesla curbing output below capacity.

Tesla stock ranks third in IBD’s automaker industry group. It has a 98 Composite Rating out of 99. Tesla has a 95 Relative Strength Rating and its EPS Rating is 93 out of 99.

Please follow Kit Norton on Twitter @KitNorton for more coverage.

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