AMD Shares Drop 3% After ARK Invest Sells $70M Stake
AMD shares fell about 3% after ARK Invest sold 215,643 shares valued at roughly $70 million and broader chip stocks slumped up to 10% as U.S.-Iran tensions stoked oil price gains. The stock has surged nearly 70% over the past month, making recent profit-taking more pronounced.
1. ARK Invest Stake Reduction
ARK Invest trimmed its position in AMD by selling 215,643 shares across five exchange-traded funds on April 24, reducing its stake by roughly $70 million. This move followed a 13% one-day rally and a nearly 70% gain over the past month, indicating profit-taking by ARK managers.
2. Sector Headwinds from Middle East Tensions
Escalating U.S.-Iran conflict fears drove Brent and U.S. crude prices up by about 3%, creating inflationary concerns that hit growth-sensitive semiconductor stocks. Broader chip sector declines of up to 10% amplified AMD’s near 4% drop on the trading day.
3. Recent Stock Performance and Outlook
AMD closed at $334.49, down 3.83% from its previous close, reflecting heightened volatility after a sharp rally. Investors are watching whether the stock can maintain momentum or if profit-taking pressures will persist.