Cathie Wood isn’t one to wait around for the tech debate to settle.
Continuing her tech-buying spree, she dropped nearly $10 million on Roblox (RBLX) stock as the tech sector snaps back and the gaming platform impresses with a robust Q4 showing.
In classic ARK Invest style, Wood has been shopping in the rubble of the recent tech selloff.
However, Monday, Feb. 9, delivered a sharp snapback in tech and AI names, looking more like a pressure release after last week’s air pocket.
What the numbers said (Feb. 9 close):
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Nasdaq Composite:+0.90% to 23,238.67
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S&P 500:+0.47% to 6,964.82
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Dow: +0.04% to a fresh record 50,135.87
Source: Reuters
Tech spearheaded the comeback:
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S&P 500 tech sector:+1.6%
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S&P software services index:+2.9%
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Oracle:+9.6% (forming a big chunk of the software rebound narrative)
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Nvidia: +2.5% as chip players helped lead the risk-on move
Source: Reuters
Veteran tech analyst Dan Ives of Wedbush Securities, speaking on CNBC, reiterated his view that software isn’t “dead” and that the AI cycle remains in its early stages.
Meanwhile, Roblox stock has been building remarkable head of steam, gaining almost 12% over the past week after a forgettable three-month period (down 34%).
It’s important to note that Roblox and other gaming stocks are coming off a torrid stretch.
The industry bellwethers took a hammering in late January after Google unveiled Project Genie, Reuters reported. This stoked fears that AI-powered world generation could potentially disrupt gaming engines and creator-led platforms.
Consequently, Roblox shares slid into the low double digits in a single session, along with steep drops in Unity and Take-Two. However, that panic cooled swiftly, with developers pushing back, saying that Genie was more of a tool than a video game engine replacement.
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Roblox: 145,603 shares, about $10 million
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Recursion Pharmaceuticals: 156,272 shares, $622,000
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TharImmune: 54,600 shares, $226,000
Wood continues to lean into the tech volatility, despite the market headwinds.
Over the past week or so, ARK Invest bought the dip across AI and innovation names, with the clearest signal coming from AMD, Barron’s noted. ARK scooped up 141,108 shares worth about $28.2 million following the stock cratering nearly 17% in a single post-earnings session.
Fund manager buys and sells
Moreover, ARK has steadily added exposure to Google-parent Alphabet stock in early February, valuing more than $43.4 million, with the stock pulling back.
AI monetization will continue running through hyperscaler cloud platforms, and Wood’s pertinent buy reinforces that long-held view. Additionally, in early February, that theme extended into smaller innovation bets with purchases of Tempus AI and Recursion Pharmaceuticals, tied directly to AI-driven transformation instead of near-term earnings polish.
On top of that, ARK has rotated into crypto-linked tech, treating the current pullback as a major opportunity with AI infrastructure and compute demand remaining intact.
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1W:+11.69% versus S&P 500 +0.37%
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1M:-3.14% versus S&P 500 +0.29%
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6M:-45.24% versus S&P 500 +9.77%
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YTD:-9.35% versus S&P 500 +1.74%
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1Y:+9.43% versus S&P 500 +14.49%
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3Y: +88.38% versus S&P 500 +69.42%
Source: Seeking Alpha
Roblox’s Q4 earnings print emphatically reinforced the platform’s growth flywheel.
GAAP revenue surged to $1.415 billion, up 43% year over year, with bookings (a cleaner demand metric compared with its deferred-sales model) climbing to $2.22 billion, up 63%. Engagement numbers were another headliner.
Daily active users rose to 144 million (+69%), along with hours engaged, hitting 35 billion (+88%), a tremendous scale that supports higher monetization across Robux, ads, and new commerce initiatives.
Earnings snapshot (Q4 2025):
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Revenue:$1.415 billion (+43% YoY)
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EPS (GAAP):-$0.45 versus -$0.33 a year ago, narrower than the -$0.49 loss some analysts were expecting
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Bookings:$2.22 billion (+63% YoY), topping the Street’s $2.05 billion estimate
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Key operating metrics:DAUs 144 million (+69%), hours 35 billion (+88%), monthly unique payers 36.7 million (nearly doubled)
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Cash and outlook: FCF $307 million (versus $121 million last year), cash/investments $5.5 billion, FY26 guide calls for bookings $8.28 billion to $8.55 billion and FCF $1.60 billion to $1.82 billion
Sources: Roblox investor relations, Q4 results
Perhaps the most heartening aspect of Roblox’s Q4 showing was that it didn’t have to rely on a major new viral hit, with its long tail doing the bulk of the heavy lifting (experiences outside the top 10 drove a big share of spending growth).
On top of that, the company’s cash flow exploded, which, despite the losses, can make Roblox’s economics look messy under GAAP. Meanwhile, the underlying business continues to generate real cash and scale improves.
Related: Bank of America sends quiet warning to stock market investors
This story was originally published by TheStreet on Feb 10, 2026, where it first appeared in the Investing section. Add TheStreet as a Preferred Source by clicking here.