Cathie Wood Goes Bargain Hunting: 3 Stocks She Just Bought

Cathie Wood has been picking up her trading activity in recent days. The co-founder, CEO, and chief investment officer at Ark Invest capped off a busy week with several purchases for her firm's exchange-traded funds (ETFs) specializing in growth opportunities.

Wood wrapped up the week by buying shares in Space Exploration Technologies (NASDAQ: SPCX), Circle Internet Group (NYSE: CRCL), and Palantir (NASDAQ: PLTR) on Friday. She was adding to existing positions in all three stocks. Let's take a closer look.

Image source: Getty Images.

1. SpaceX

After 10 days of trading, no one should be surprised that SpaceX stock is volatile. What is a bit shocking is that shares of the record-setting IPO are basically where they were when they opened at $150 on their very first trade. Two weeks in, SpaceX is trading just 2% above its initial price.

It's a somewhat different story if you got in ahead of the IPO. If you were connected enough to receive shares from a deal underwriter, you paid $135 a share. You have a respectable 14% gain on your position, but even then, it's still a bit disappointing. Unlike SpaceX's actual rockets, this recent market debutante is still waiting to take off.

Analysts are all over the map on this one. The stock's target prices range from $310 -- more than doubling from here -- to $62, down more than half. The valuations are not for the timid.

With its market cap above $2 trillion against only $19 billion in trailing revenue, you will find a lot of investors unwilling to pay more than 100 times revenue for a stock that is already one of the largest on the planet. There are only six U.S. exchange-listed companies with a larger market cap.

There is a successful business here. SpaceX's Starlink serves vital connectivity in underserved markets. Its flagship launch business continues to lead the way in an industry on the rise in more ways than one. You'll have to wait until next year for positive adjusted earnings and the following year for reported profitability to launch. If it can make the leap from today's fleet of partially reusable rockets to its next-gen Starship that is totally reusable, it can be a game changer in driving costs lower for the industry. You shouldn't dismiss SpaceX's long-term potential, even if it's hard to make much of a valuation argument these days.

2. Circle Internet Group

Another IPO that has gone on a wild round trip to nowhere is Circle Internet Group's stock. It hit the market last June at $69. It's gone as high as $299 and as low as $50, but today the issuer of stablecoin products trades for less than 7% above its frenzied IPO price.

The volatility seems out of line here. Circle offers blockchain solutions for the cryptocurrency market, but its business largely consists of stablecoins, which, true to their name, aim to maintain relatively stable pricing. Its primary product, USD Coin, remains tethered to the $1 price point.

Revenue growth slowed to 20% in its latest quarter, but that's more than respectable, given how many digital currency trading platforms and crypto miners are struggling. Analysts see revenue accelerating next year with a 40% top-line jump in 2027. If it succeeds, Circle will probably stop going in circles.

3. Palantir

We close with Palantir stock, and it's not the first time Wood has added to the analytics software provider in the past week. Like SpaceX and Circle, Palantir is trading well below its recent high. The stock is 46% below the all-time high it scored almost eight months ago.

Palantir's business continues to accelerate. Revenue soared 65% in this year's first quarter, following a 70% increase in its previous report and a 56% jump for all of 2025. Palantir dabbles in some thorny defense and security operations, but it's made strides in porting its wins with U.S. federal agencies and government contractors into lucrative partnerships with commercial businesses in the private sector.

Palantir has more than $8 billion in cash and short-term investments on its balance sheet and no long-term debt other than its current lease obligations. One of the market's most expensive growth stocks a year ago now has a forward earnings multiple in the double digits. Betting against Palantir could be a mistake at this point. Wood is a buyer.

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