Cathie Wood's ARK fund sells a stake in Nvidia

On Thursday, ARK Investment Management, led by Cathie Wood, sold a significant portion of shares in chipmaker NVIDIA Corporation NVDA, possibly taking advantage of the surge in the share price following the company's upbeat forecast.

Four different funds operated by Nvidia, including ARK, sold more than 65,600 shares of the company at an expected valuation of nearly $25 million based on Thursday's closing price. In early January, Wood's flagship exchange-traded fund, ARK Innovation ETF ARKK, had closed out its Nvidia stake and since then, the chipmaker's market capitalization has surged by $560 billion, according to a Bloomberg report.

In February, when Nvidia traded for $234 per share, which reflected about 50 times forward earnings, Wood had said the valuation was very high. We believe Nvidia will be a good stock, he said. It's priced - it's the check-the-box' AI company, said Brian Wood, a spokeswoman for CNBC. For a flagship fund, where we have consolidated towards our highest conviction names, part of that has to do with valuation. Nvidia's first quarter revenue rose to $7.19 billion, a steep rise from the previous forecast of $6.52 billion. Nvidia expects to earn $11 billion in the second quarter, compared to a consensus of $7.15 billion.

In addition to the chipmaker, ARK also trimmed its share in Alphabet Inc GOOG GOOGL at an estimated valuation of more than $1.3 million based on Thursday's closing price.

Six different funds of ARK have bought a whopping stake in UiPath Inc PATH at a valuation of over $72 million based on Thursday's closing price. The buy comes on a day when the shares closed more than 11% lower after the company announced its quarterly earnings.

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