I don't mean it as a commentary or opinion on Nvidia, but hearing Cathy Woods talking about Nvidia is as if she's just doubling down on her bad decision based on her initial gut feeling which she is too stubborn to admit that was wrong.
To me it just seems like she happens to pick some stocks based on gut feeling because of some random detail she liked about it and then will say whatever to justify her positions afterwards.
Yeah Cathy Wood publicly said that she’d back off into more reliable cash flow positive businesses better PE ratios or even cash if the valuations got too high — which she didn’t do. Instead, at the peak, and the trough, she bought more Teladoc and Docusign instead! Both still have a negative PE ratio! They’re no-moat, no-profit, no-dividend, hype companies.
The problem was, her ETFs are not paid and incentivized by performance. She’s paid and incentivized by AUM. So her team spends their time writing speeches and on Twitter writing hype posts instead of shutting up, being heads down buried in a laptop analyzing stocks, and performing analysis quietly. She might’ve been worried her AUM could drop if she made big changes like liquidating to cash.
To me it just seems like she happens to pick some stocks based on gut feeling because of some random detail she liked about it and then will say whatever to justify her positions afterwards.