On Friday, a global IT system outage caused market turmoil, with cybersecurity company CrowdStrike, the &#34;culprit,&#34; plummeting over 11%. Meanwhile, renowned investor Cathie Wood, managing the ARK ETF, contrarian bottomed out on CrowdStrike.
On July 19th local time, Cathie Wood's Ark Investment under ARKW and ARKF ETFs bought around 385,950 shares of CrowdStrike worth about $13.24 million.
In addition to increasing its holdings in CrowdStrike, ARK also increased its stake in software development platform GitLab Inc, buying 38,519 shares through the ARKW ETF, valued slightly above $2 million.
On the selling side, ARK reduced its holdings in several companies, including continuing to sell Coinbase stocks and further selling nearly $4.39 million worth of Tesla stocks after selling on Thursday.
It is worth noting that the global IT technical failure this time also caused Tesla to temporarily halt some production lines, and employees have not been informed when they can resume work.
However, Musk's attitude is completely different from Cathie Wood's. He stated,
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&#34;CrowdStrike has been removed from all systems, and CrowdStrike has not released a new version. He also warned that this IT interruption has caused the 'automotive supply chain to be paralyzed'.&#34;
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<img src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/6fffee26-1aec-4fc4-a6d5-7a18dd6a37aa.png/query-aW1hZ2VWaWV3Mi8yL3cvMTQ3OQ?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" alt="Image" original-src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/6fffee26-1aec-4fc4-a6d5-7a18dd6a37aa.png/query-aW1hZ2VWaWV3Mi8yL3cvMTQ3OQ"/><img src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/5a19dd00-49bf-42e8-9067-141dd21eb3ca.png/query-aW1hZ2VWaWV3Mi8yL3cvMTQ3OQ?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" alt="Image" original-src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/5a19dd00-49bf-42e8-9067-141dd21eb3ca.png/query-aW1hZ2VWaWV3Mi8yL3cvMTQ3OQ"/>
Analysts have different opinions, with Wedbush Securities analyst Dan Ives stating:
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&#34;This is obviously a major blow to CrowdStrike, and the stock will face pressure... This event stems from a technical update, not hackers or cybersecurity threats, which is more worrying.&#34;
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Some analysts believe that while Friday's event has damaged CrowdStrike, they expect competitors not to take away too much market share due to this incident. Analysts from JP Morgan stated:
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&#34;Customers will initially feel uneasy, but the company has taken over this issue... The failure occurred, and it was significant, but we believe CrowdStrike's diligence and efficient response will help.&#34;
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Former cybersecurity investor and current operator of the security startup Gusto, Ben Bernstein, stated that he plans to temporarily continue using CrowdStrike
In addition, ARK has made small adjustments to its holdings in some companies, including selling UiPath Inc and buying Oklo Inc. The latter has been a continuous buy for ARK in the past week, reflecting the potential trend of the company's investment strategy

CRWD

On Friday, Ark Investment Management purchased approximately $13.24 million worth of CrowdStrike stock through its ARKW and ARKF ETFs

Amid a global crash, "Wood Sister" makes a bold move to "buy the dip" in CrowdStrike!