Ark Invest’s Cathie Wood Bets on Rebound for Struggling Stocks Roblox, Accolade, and Intellia Therapeutics

Cathie Wood, founder and CEO of Ark Invest, recently added to her positions in Roblox (RBLX), Accolade (ACCD), and Intellia Therapeutics (NTLA) following a steep drop in the share prices of these companies. While Roblox reported strong financial results for Q1, including a record free cash flow of $191 million, its guidance for Q2 disappointed investors, causing a 22% drop in stock prices. Accolade, a healthcare benefits specialist, has lost almost 50% of its value over the past year, with five analysts reducing their price targets following disappointing Q4 results. However, analyst Richard Close remains optimistic about the company’s prospects, noting that the stock has historically bounced back after sharp sell-offs. Intellia Therapeutics, a gene-editing specialist, saw its stock rise by 8% after reporting better than expected financial results for Q1. The company finished the quarter with $953 million in cash and marketable securities, providing it with ample resources to advance its promising therapies through key phase 3 trials. Despite these recent developments, it should be noted that the Motley Fool Stock Advisor analyst team did not include Roblox in their list of top 10 stocks for investors to buy now. Nonetheless, Nvidia, which was included in this list in April 2005, has seen significant returns since then. The Stock Advisor service offers investors a blueprint for investment success and provides regular updates and two new stock picks per month. As of May 6, 2024, the Stock Advisor returns have quadrupled those of the S&P 500 since 2002 (disclosure policy).