Already Up, But "Set to Climb Higher"...Cathie Wood Sells Alphabet and Invests 37 Billion KRW in AI-Beneficiary Meta
Cathie Wood Purchases 43,091 Shares of Meta
Further Bet Despite Rising Share Price Draws Attention
Launch of Personal AI Agent 'Muse' Raises Hopes for Monetization
Cathie Wood, CEO of ARK Invest—familiarly known among domestic investors as “Money Tree Unnie”—is making headlines after drastically rebalancing her big tech portfolio. She has significantly increased her holdings in Meta Platforms by over 37 billion won, while simultaneously offloading a substantial portion of Alphabet, Google's parent company. This move is interpreted as a “strategic switch,” betting on Meta’s growth potential as it accelerates the commercialization of practical artificial intelligence (AI) services and develops new revenue streams.
Buying Meta, Selling Alphabet... Purchases Total 43,091 Shares
According to U.S. financial information outlet Barchart on September 14 (local time), ARK Invest recently purchased 43,091 shares of Meta for $27.90 million (approximately 3.75 billion won). Of these, 38,304 shares were included in the ARK Innovation ETF (ARKK) and 4,787 shares in the ARK Next Generation Internet ETF (ARKW).
Conversely, ARK sold 84,392 shares of Alphabet totaling about $27.80 million (approximately 3.74 billion won). In detail, 72,803 shares of Alphabet Class A were sold from ARKK, and 11,589 shares were sold from ARKW.
Since the scale of the purchases and sales closely matches, this is seen as a trade reflecting a relative view on AI strategies among major tech stocks rather than a simple portfolio adjustment.
The timing of the purchase is particularly notable. Meta’s stock price rose 8.7% over the last five trading days and 12.9% over the past three months, reaching levels not seen in nearly two months. The fact that additional shares were bought after such a rise suggests a stronger belief in future growth prospects for Meta’s AI business than in near-term stock price movements.
'Muse' Launch: A Crucial Test for AI Monetization
On the 8th, Meta launched its new personal AI agent, “Muse.” Muse is designed not only to answer questions like a chatbot, but also to handle multiple tasks such as sending emails, booking travel, and managing schedules and documents on behalf of users.
The basic plan is offered free of charge, while a paid subscription model is also available. According to foreign press reports, subscription options are offered at around $20 per month (about 27,000 won) and $100 per month (about 134,000 won).
The key issue for Meta is whether AI can evolve from merely improving advertising efficiency to a standalone source of revenue. With its large user base, if the AI agent becomes embedded as a daily service, there is potential for expansion into new business models such as transaction fees in addition to subscription revenue. In fact, industry analysts are noting that the launch of Muse could mark a turning point for Meta’s AI strategy.
However, technological competitiveness does not immediately translate into improved earnings. Muse’s release was delayed due to security and reliability issues, and internal testing revealed concerns over personal data exposure and feature stability. As AI agents access and act upon sensitive personal information, earning user trust will remain a critical challenge.
Revenue Grows, But Costs Surge 55%... AI Investment Burden
Meta’s latest financial results show both strong growth and mounting costs. Second-quarter revenue was $60.8 billion (about 81.8124 trillion won), up 28% from the previous year and outperforming market expectations of $60.21 billion (about 80.9984 trillion won).
However, total expenses jumped 55% year-on-year to $42.03 billion (about 56.5555 trillion won). As a result, the operating margin fell from 43% to 31%, and earnings per share (EPS) dropped to $6.18 (about 8,300 won), missing the market estimate of $7.10 (about 9,500 won).
As Meta ramps up investment in AI data centers and computing infrastructure, short-term cost pressures are unavoidable. Therefore, Cathie Wood’s latest purchase appears to be a bet not simply on Meta’s current performance, but on the likelihood that massive AI investment will lead to improved advertising efficiency and new business revenue in the long term.
Wall Street’s sentiment is generally positive: of 55 analysts covering Meta, 46 have given a “strong buy” and 2 have a “buy” rating. The average target price is $754.61 (about 1.01 million won), about 17.1% above the current price.
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However, a strong buy rating does not mean the investment is risk-free. As investments in AI infrastructure, labor costs, and data center expenses continue to rise rapidly, how quickly actual AI services can be converted into profits is considered a crucial factor for Meta’s future stock price.
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