Cathie Wood's Ark Invest scoops up $17 million in Circle, $20 million in SpaceX shares following Q2 results

Ark Invest loaded up on shares of Circle Internet Group (CRCL) and SpaceX (SPCX) on Wednesday.

The Cathie Wood-led investment firm's latest disclosure shows that it purchased 273,343 shares of the USDC issuer across its Ark Innovation ETF (ARKK), Ark Next Generation Internet ETF (ARKW), and Ark Blockchain & Fintech Innovation ETF (ARKF).

Circle's stock price remained steady on Wednesday, edging up 0.05% to $63.28. At that closing price, Ark's recent purchase of Circle stock is valued at $17.3 million.

The company's investment strategy does not allow an individual holding to exceed 10% of a fund's portfolio to maintain diversification within its ETFs. According to its website, Circle is the ninth-largest holding within ARKK, with a weight of 3.68% and a total value of $223.4 million.

Circle disclosed its second-quarter financial results on Wednesday, showing that the stablecoin firm's total revenue and reserve income reached $701 million, up 7% year-over-year. Adjusted EBITDA rose 8% to $143 million.

USDC in circulation ended the quarter at $73.3 billion, up 19% year-over-year, with onchain transaction volume of $14.8 trillion, up 151%.

SpaceX plunges

Meanwhile, Ark purchased 181,830 shares in Elon Musk's SpaceX on the same day, across ARKK, ARK Autonomous Technology & Robotics ETF (ARKQ), ARKW, and ARK Space & Defense Innovation ETF (ARKX).

On Wednesday, SpaceX shares plunged 13.61% to $108.27, well below its IPO price of $135. This came despite the rocket maker reporting a 92% year-over-year revenue jump to $7.8 billion during the second quarter.

Investors mainly raised concerns around the rocket maker's $18.4 billion in capital expenditure during the second quarter, which marks a sixfold increase from the prior year. SpaceX executives explained that the spending was to expand its AI capabilities.

Still, Musk expressed confidence that SpaceX will hit $1 trillion in annual revenue by 2030, or possibly 2029, which is earlier than the initial projection of 2031.