Cathie Wood Sold SpaceX Stock the Same Day It Dropped Its Spectrum Bombshell
ARK Invest trimmed its SpaceX position hours before a seismic spectrum announcement sent wireless carriers into a tailspin, and the sequence of events raises a question the fund's disclosure timing can only partially answer.
On October 8, 2026, an ARK Invest fund sold 29,048 shares of SpaceX (NASDAQ:SPCX | SPCX Price Prediction). At that day’s close, the shares were worth about $4.7 million. The stock fell 4.19% that session and closed at $160.57.
At 4:17 p.m. ET, after the close, Grain Management announced a definitive agreement to sell its nationwide 800 MHz spectrum portfolio to SpaceX. ARK’s funds trade during market hours, so the sale went through before anyone outside the deal knew about it. That timing was unlucky, and the wireless carriers turned out to be the bigger story.
On October 9, T-Mobile (NASDAQ:TMUS) fell 13.27%, AT&T (NYSE:T) fell 9.81%, and Verizon (NYSE:VZ) fell 8.75%. SpaceX rose a more modest 1.25% to $162.57.
How the Sale and the Announcement Lined Up
ARK releases each day’s trades after the market closes, so the October 8 trim only became public after Grain’s news was already out. That disclosure order is why the trade looks well timed in hindsight.
ARK also sold 54,873 shares on October 6, worth about $9.4 million. It reportedly sold another 22,276 shares on October 9, after the news was public. If ARK had known about the deal, selling into it would make little sense.
What SpaceX Actually Signed
The agreement covers up to 14 MHz of paired 800 MHz spectrum. Low-band signals travel farther and pass through walls better than the higher frequencies satellite services have mostly relied on. That matters if the goal is reaching an ordinary phone indoors.
The agreement is signed, but it still needs FCC approval. Neither company disclosed the price. The Wall Street Journal reported it at about $8 billion in cash. Grain is private, so that reported figure is the only number linked to it.
Elon Musk called the deal “the last critical piece of the spectrum puzzle needed for SpaceX to provide complete phone coverage in America.” Responding to Chamath Palihapitiya on X on October 8, he wrote: “To those who understand the spectrum wars, it’s an earthquake.” Because Musk speaks for the buyer, read both lines as a pitch.
Why the Carriers Took the Bigger Hit
A satellite company with nationwide low-band spectrum could become a fourth national wireless competitor. T-Mobile, which closed at $148.58, fell the most, likely because its growth story depends most on winning customers from rivals.
Verizon closed at $41.65 and AT&T at $22.18. SpaceX still has no retail stores, no existing phone subscribers, and no FCC approval, and a regulatory review gives the carriers time to respond. Drops that steep likely overstate how close that threat is, since it remains remote and still lacks approval.
ARK bought about 3.3 million shares on IPO day, and its SpaceX stake across all its funds is reportedly worth about $979 million. The three cuts are small next to that.
On October 8, ARK also sold three large technology holdings, the biggest worth about $14.3 million. It bought 159,918 shares of Kratos Defense (NASDAQ:KTOS), worth about $6.7 million. Trimming a winner to fund new positions is portfolio management, and it says little about the company.
What the Valuation and FCC Review Mean for SPCX
SpaceX went public at $135 on June 12, 2026, and it is now valued at $2.21 trillion. Second-quarter revenue came in at $7.81 billion, with a net loss of $541 million and $18.37 billion spent on capital projects.
Forbes has reported that SpaceX plans to raise $40 billion to buy AI chips. The spectrum deal adds another large cash commitment on top of that. At this valuation, the stock price already assumes the phone business will work.
SPCX’s valuation leaves little room for setbacks. Verizon’s selloff, by comparison, likely treats a competitor that still needs FCC approval as though it were already selling service.
The key test is the FCC’s decision on the Grain transfer. If the agency denies or conditions the transfer, or if SPCX closes below its $135 IPO price, the bearish case gets stronger. A clean approval, along with a named launch date, would weaken the case.
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Omor Ibne Ehsan is a writer at 24/7 Wall St. He is a self-taught investor with a focus on growth, cyclical, and dividend equities that have strong fundamentals, value, and long-term potential. He also has an interest in high-risk, high-reward investments such as penny stocks.
