Cathie Wood Goes Bargain Hunting: 3 Stocks She Just Bought

Cathie Wood has been taking it slow with her shopping sprees lately. The co-founder, CEO, and chief investment officer at Ark Invest has been doing more selling than buying across her firm's aggressive growth exchange-traded funds (ETFs).

Wood kicked off the new trading week by buying shares in Space Exploration (NASDAQ: SPCX), Roblox (NYSE: RBLX), and Alamar Biosciences (NASDAQ: ALMR). They were the only three stocks she purchased on Monday. Let's take a closer look at these fresh purchases.

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1. SpaceX

It's been a wild first six days of trading for SpaceX stock. Following the record-shattering IPO, shares rose sharply in their first three days on the market, only to give most of those gains away in the past three trading sessions.

Just 3% above its first-day trade of $150, the stock has shed nearly a third of its value since peaking a week ago. But despite the swift pullback, SpaceX remains one of just seven U.S. exchange-listed stocks with market caps north of $2 trillion.

There is some truth to the hype around this stock, because there's more to it than just pie-in-the-sky dreams of data centers in space. It offers a blank easel for the future. Starlink is the real deal, a global communications platform serving rural markets and providing connectivity for enterprises, governments, the military, and consumers in hard-to-reach areas. SpaceX is leading the pack in launches, and if Starship can nail its reusability and reliability, this will be the beginning of what's possible as costs move lower.

But SpaceX isn't cheap. It's trading for more than 100 times its trailing revenue of $19.3 billion. Analysts see it turning profitable on an adjusted basis next year -- and on a reported basis come 2028 -- but those multiples are even higher.

Wood was able to get into the company ahead of its IPO for Ark investors. This week was the first time since the stock's debut that she was buying again. She clearly sees an opportunity after its six-day public journey.

2. Roblox

Shares of Roblox tumbled 8% on Tuesday, shedding more than half of their value over the past year. The online gaming platform developer has seen better days, although it may not seem that way at first. Roblox was entertaining 132 million daily active users on its platform, a 35% jump over the past year. The 31 billion hours of engagement on Roblox in the first three months of this year mark a 43% increase. It's great to see usage outpace the user base, right?

But zoom in a bit closer, sequentially, and the trend is less forgiving. The number of daily active users has fallen from a peak of 152 million in the third quarter of last year to 144 million in the fourth quarter, and then settled at 132 million today. Hours engaged have also experienced back-to-back quarters of sequential declines.

Losses continue, too. Roblox's stock more than tripled over the previous three years, but now the concern is whether it can get back on track. The year-over-year comparisons will get harder, particularly for the third quarter that starts in a week. Thankfully for those viewing this as a compelling entry opportunity, Roblox has bounced back from weakness before.

3. Alamar Biosciences

It's been two months since Alamar Biosciences went public at $17 per share. It didn't get the same kind of media attention as SpaceX, and it raised less than $220 million before fees in its April IPO.

Alamar is interesting. It's a commercial-stage proteomics company that leverages proprietary technology for protein detection and analysis to enable early disease detection. Unlike many bioscience debutantes, Alamar is already generating revenue in the form of instruments and consumables. It's a classic early stage razor-and-blades business.

Revenue almost doubled to $26 million in the first-quarter results it posted last month, obviously its first report as a public company. Outright profitability is still a few years away, but this is still roughly a ground-floor opportunity for today's investors. The stock is trading less than 1% from its IPO price of $22.60 and 16% below its April high.

Rick Munarriz has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Roblox. The Motley Fool has a disclosure policy.