Tesla Inc (NASDAQ: TSLA) bull Cathie Wood-led Ark Investment Management on Monday further raised its exposure in BYD Co (OTC: BYDDY), a Chinese electric vehicle maker that has the backing of veteran investor Warren Buffett's Berkshire Hathaway Inc (NYSE: BRK-A) (NYSE: BRK-B).
The popular investment firm bought 35,000 shares, estimated to be worth $1.92 million, in the Shenzhen-based legacy automotive player that has switched to making electric vehicles and hybrids.
BYD stock closed 0.7% higher at $54.97 a share on Monday. The stock is down 21% year-to-date.
BYD, short for Build Your Dreams and founded by Chinese billionaire Wang Chuanfu, competes with local rivals such as Nio Inc (NYSE: NIO), XPeng Inc (NYSE: XPEV), Li Auto Inc (NASDAQ: LI), and the current global EV leader Tesla.
St. Petersburg, Florida-based Ark Invest held 411,334 shares, worth $22.45 million, in BYD before Monday’s trade. Ark Invest owns shares in the company via the Ark Autonomous Technology & Robotics ETF (BATS: ARKQ).
See Also: Cathie Wood Trims $147M From Tesla Stake And Initiates Position In This Rival EV Maker
Last week ARKQ initiated a position in Nio and swooped up shares worth $8.4 million based. The ETF also counts Tesla as its top holding, a stock that Wood has estimated will breach the $3,000 milestone by 2025.
This is Ark Invest’s fourth buy in BYD so far this year, a stock that it has been accumulating since 2021.
In February, BYD sold over double the number of electric vehicles than Nio, Xpeng, and Li Auto combined.
