{"id":477041,"date":"2026-02-19T03:18:10","date_gmt":"2026-02-19T03:18:10","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/477041\/"},"modified":"2026-02-19T03:18:10","modified_gmt":"2026-02-19T03:18:10","slug":"cathie-wood-buys-14-million-of-megacap-ai-stocks","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/477041\/","title":{"rendered":"Cathie Wood buys $14 million of megacap AI stocks"},"content":{"rendered":"\n

Cathie Wood<\/a> didn\u2019t hesitate when tech investors started flinching.<\/p>\n

On Feb. 17, ARK\u2019s daily disclosures showed buys of $8 million in Broadcom (AVGO<\/a>) and about $6 million in Advanced Micro Devices (AMD<\/a>). That\u2019s a massive $14 million combined push into two of the biggest AI<\/a> infrastructure giants, just days after a steep risk-off stretch rattling the broader market.<\/p>\n

The buy-the-dip moment from Wood comes at a time when confidence in AI is wobbling.<\/p>\n

The S&P 500<\/a> is down 2% over the past couple of weeks, Barron’s reports<\/a>. Moreover, the Nasdaq has shed roughly 4% in February alone, leaving it more than 6% off recent highs. Clearly, tech investors are in \u2018show-me\u2019 mode with the AI trade, questioning whether the AI boom is running ahead of visible returns.<\/p>\n

However, that hasn\u2019t deterred the relentless AI-related spending.<\/p>\n

The \u201cBig 4\u201d hyperscalers in Microsoft \u2014 Google-parent Alphabet, Amazon, and Meta \u2014 are forecasted to dish out nearly $650 billion into AI-related infrastructure in 2026, up a massive 60% year over year, according to Yahoo Finance<\/a>.<\/p>\n

Wood is betting that the market is mispricing the middle of that equation.<\/p>\n

Broadcom remains a dominant force in the custom AI silicon for hyperscalers. On the other hand, AMD has emerged as a credible alternative in high-performance computing, going all-in with a full-stack approach through Helios.<\/p>\n

So if AI demand remains durable and unit economics improve over time, things could get a lot more lucrative for infrastructure suppliers, and they could be the first names investors re-rate.<\/p>\n

\"Cathie Cathie Wood bought Broadcom and AMD amid renewed volatility in AI stocks.Photo by Bloomberg on Getty Images \u00b7 Photo by Bloomberg on Getty Images <\/p>\n

Buys<\/p>\n

Broadcom: Bought 24,205 shares for $8.05 million.<\/p>\n

Advanced Micro Devices: Bought 30,139 shares for $6.12 million.<\/p>\n

Coinbase: Bought 41,453 shares for $6.88 million.<\/p>\n

Sells\/trims<\/p>\n

Teradyne: Sold 43,586 shares for $13.32 million (largest trade of the day).<\/p>\n

Twist Bioscience: Sold 119,374 shares for $6.31 million.<\/p>\n

Airbnb: Trimmed.<\/p>\n

Pinterest: Trimmed.<\/p>\n

Nvidia<\/a> and other flashy AI chip giants usually hog the spotlight, but Broadcom has quietly positioned itself as perhaps the go-to player in the picks-and-shovels role across the critical parts of AI hyperscalers.<\/p>\n

Broadcom is developing AI ASICs and XPU chips for big-ticker customers like Google and Meta.<\/p>\n

Moreover, that tremendous demand is backed by its mighty impressive fundamentals<\/a>.<\/p>\n

Fund manager buys and sells<\/p>\n

For perspective, Broadcom recently highlighted a $73 billion backlog<\/a> over the next 18 months, which is concentrated in the hands of a few hyperscalers. Also, it has guided AI sales to nearly double to $8.2 billion in a single quarter<\/a>.<\/p>\n

Story Continues <\/p>\n

As we look ahead, AI will likely shift from just training to always-on inference workloads, making efficiency much more important.<\/p>\n

As a result, custom chips become a lot more pertinent, and Broadcom becomes even more embedded in that relentless transition, including through Google\u2019s TPU ecosystem.<\/p>\n

On top of that, another underappreciated lever where Broadcom dominates is networking.<\/p>\n

As AI clusters scale up, switching and interconnects become key bottlenecks, and Broadcom spearheads the high-performance Ethernet switching space.<\/p>\n

Moreover, there\u2019s VMware to consider, where the enterprise software tilt, particularly toward subscriptions, lays the foundation for fatter margins and improved earnings quality. At present, Broadcom is generating a 77% gross margin<\/a>, higher than its five-year average of 75%.<\/p>\n

Related: Apple\u2019s Siri shocker is flashing a warning AAPL bulls can\u2019t ignore<\/a><\/p>\n

6-month return:AVGO +8.95% versus AMD +14.40%<\/p>\n

9-month return:AVGO +46.33% versus AMD +73.32%<\/p>\n

YTD return:AVGO -3.92% versus AMD -5.17%<\/p>\n

1-year return:AVGO +43.99% versus AMD +79.56%<\/p>\n

3-year return:AVGO +483.97% versus AMD +158.70%<\/p>\n

5-year return: AVGO +666.15% versus AMD +125.79%
Source: Seeking Alpha<\/p>\n

AMD\u2019s 2026 story has everything to do with its scaling as an alternative in data-center AI.<\/p>\n

Unlike the vagueness among AI players, the catalysts in play for AMD are a lot more specific.<\/p>\n

Firstly, AMD has effectively positioned itself as a preferred partner to OpenAI, with the first 1-gigawatt deployment of Instinct MI450 GPUs expected in the second half of 2026.<\/p>\n

On top of that, Oracle Cloud Infrastructure has outlined plans for a gigantic AI supercluster purpose-built on AMD\u2019s Helios rack design, starting off with 50,000 GPUs in Q3 2026<\/a>.<\/p>\n

Related: Ray Dalio\u2019s Bridgewater invests $253 million in major AI stock<\/a><\/p>\n

In addition, product cadence reinforces that superb narrative.<\/p>\n

The MI355 is expected to ramp up first half of 2026, with MI450 coming online in the back half. Moreover, AMD\u2019s setup looks a lot more attractive and durable because it isn\u2019t AI-only.<\/p>\n

The tech giant\u2019s x86 share has risen to nearly 29%, Tom’s Hardware<\/a> reports, while desktop share has surged over 36%. Its Turin server CPUs represent more than half of server revenue.<\/p>\n

ARK Innovation (ARKK<\/a>): +35.49% versus SPY<\/a>: +17.72% (+17.77 pts)<\/p>\n

ARK Next Gen Internet: +38.93% versus SPY: +17.72% (+21.21 pts)<\/p>\n

ARK Genomic Revolution: +23.04% versus SPY: +17.72% (+5.32 pts)<\/p>\n

ARK Fintech Innovation: +28.67% versus SPY: +17.72% (+10.95 pts)<\/p>\n

ARK Autonomous Tech & Robotics: +48.81% versus SPY: +17.72% (+31.09 pts)
Source: Yahoo Finance, Total Real Returns<\/p>\n

Related: JPMorgan builds $2.93 billion stake in health care stock<\/a><\/p>\n

This story was originally published by TheStreet<\/a> on Feb 18, 2026, where it first appeared in the Investing<\/a> section. Add TheStreet as a Preferred Source by clicking here.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"Cathie Wood didn\u2019t hesitate when tech investors started flinching. On Feb. 17, ARK\u2019s daily disclosures showed buys of…\n","protected":false},"author":2,"featured_media":477042,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[45],"tags":[723,182,181,507,187751,74],"class_list":{"0":"post-477041","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-advanced-micro-devices","9":"tag-ai","10":"tag-artificial-intelligence","11":"tag-artificialintelligence","12":"tag-cathie-wood","13":"tag-technology"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/477041","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=477041"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/477041\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/477042"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=477041"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=477041"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=477041"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}