3 Stocks Cathie Wood Bought on Thursday
Key Points
Cathie Wood added to her stakes in Broadcom, DoorDash, and Coinbase on Thursday.
Broadcom tumbled 13% after posting disappointing financial results.
DoorDash and Coinbase are trading 44% and 63% below their 52-week highs, respectively.
- 10 stocks we like better than Broadcom ›
After returning to form last year -- trouncing the market in 2025 after struggling in recent years -- Ark Invest co-founder, CEO, and Chief Investment Officer Cathie Wood is trying to piece together back-to-back years of success. Her aggressive growth exchange-traded funds (ETFs) have had a mixed showing so far. Two of her five ETFs have more than doubled the market's return, but the other three are badly trailing Wall Street's winning ways.
She was particularly busy on Thursday, adding to some of her existing positions. Ark Invest bought shares of Broadcom (NASDAQ: AVGO), DoorDash (NASDAQ: DASH), and Coinbase Global (NASDAQ: COIN). Broadcom tumbled on Thursday. DoorDash and Coinbase ticked higher, but are trading 44% and 64% below their highs, respectively. Let's take a closer look.
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1. Broadcom
Broadcom stock hit an all-time high on Wednesday. It was a different story on Thursday, as the provider of semiconductor and tech infrastructure solutions saw its shares plummet 13% after posting poorly received financial results. The drop is historically significant.
The stock's single-day drop of $285.6 billion in market cap is the fourth-largest slide among the market's megacaps over the last six years. Broadcom's latest quarter was decent.
Revenue rose 49% to $22.2 billion for the fiscal second quarter, as the artificial intelligence (AI) semiconductor business that made up nearly half of its top-line results soared 143%. The bottom line fared even better, as reported net income rose 88%, climbing 55% on an adjusted basis. It was a modest beat on both ends of the income statement. Guidance was the dagger.
Broadcom's outlook for the new fiscal third quarter may seem strong at first glance. Broadcom is targeting $29.4 billion in revenue for the current quarter. It's a substantial step up sequentially and a heartier 84% year-over-year jump. It's also actually just ahead of where the market pros were perched, but the stock's monster run heading into the report apparently required an even rosier outlook.
Even after the stock's slide on Thursday, Broadcom stock is still trading 60% higher over the past year. It's an eight-bagger over the last five years. Several analysts would go on to boost their price targets on what is technically a beat-and-raise performance. One Wall Street pro even upgraded the shares on Friday. It was a strong report. Valuation expectations are just being reset on the AI pick-and-shovel play after the performance.
2. DoorDash
It's been a year of indigestion for DoorDash shareholders. Shares of the company behind the leading third-party app for restaurant delivery have been cut nearly in half over the past year. There have been a couple of earnings misses in that time, even as revenue growth accelerated in 2025 after years of deceleration.
DoorDash continues to find new ways to serve up growth. This week, DoorDash announced upgrades to its suite of advertising tools. Last month, DoorDash posted well-received results and revealed a push into restaurant point-of-sale software.
However, rising gas prices and waning consumer confidence heighten the spice profile of the business model's risk. Can it continue to build out its fleet of gig-economy drivers if the situation in Iran worsens and fuel costs rise again? Will folks pay a premium to have food and other merchandise delivered in a softening economy?
Wood apparently thinks that the pessimism is overdone, and she may be on to something here. DoorDash has established itself as a niche leader of a growing industry. Top-line deceleration is expected to return next year, but there are fates far worse than 20% revenue growth next year on widening profitability. When it comes to Ark Invest taking a bigger bite of DoorDash, I'll have what she's having.
3. Coinbase
Coinbase stock has shed nearly two-thirds of its value since peaking last summer. Enthusiasm for Bitcoin (CRYPTO: BTC) has been waning, down 15% over the past week and off by more 40% over the past year. The total market cap of all cryptocurrencies has fallen 20% to $2.1 trillion over the past month.
Coinbase is the leading online trading platform for digital currencies. If crypto prices are sliding, it's going to shrink account values and ultimately soften trading activity. It also faces competition from traditional trading platforms that are making it easier for their customers to trade crypto there, rather than having to seek out Coinbase or one of its smaller rivals.
Revenue has declined 22% and 31% for Coinbase in its two latest quarters. The good news is that analysts see the slide moderating to a 10% year-over-year dip for the quarter that ends later this month. The bad news is that this is a scalable business, and earnings per share for all of 2026 are now expected to plummet more than 70%. Until crypto prices recover, Coinbase will likely remain depressed.
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Rick Munarriz has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Broadcom and DoorDash. The Motley Fool recommends Coinbase Global. The Motley Fool has a disclosure policy.
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