Cathie Wood's Ark Invest recently sold 181,294 shares of Tesla (TSLA), a move that garnered attention due to Wood's well-known bullish position on the company. Despite the sale, Tesla remains the largest holding in Ark Invest's portfolio, with the firm still owning over 3 million shares worth around $1 billion. On the day of the news, Tesla's stock was down 3.4%. Financial analysts suggest the sale is not a bearish indicator but rather a standard portfolio management practice. Large funds often trim positions that have grown significantly to manage risk and rebalance their holdings. Wood has a long-term price target of $2,600 for Tesla stock, indicating her long-term conviction remains despite this recent sale.