Key Takeaways
- On Monday, Cathie Wood’s Ark Invest sold $109.6 million in Circle (CRCL) shares across three ETFs.
- Despite ARK’s profit-taking, CRCL closed up 9.6% on Monday, also running during the after-hours trading.
- However, analysts are confident Circle stock can still grow further.
Circle’s recent public listing has drawn intense attention from institutional investors and analysts as the stock continues to post sharp gains and trading volumes surge.
With early backers like Ark Invest beginning to take profits, the focus is shifting to the company’s long-term outlook.
ARK Gains $110M Selling Circle, Reinvests in HOOD and COIN
Cathie Wood’s Ark Invest sold $109.6 million of Circle shares across three ETFs on Monday as the stock jumped post-IPO.
According to its latest trade filing, Ark offloaded 415,844 Circle shares, profiting from the stock’s 800% surge since it became public two weeks ago.
In detail, ARK Innovation (ARKK) sold 306,921 shares, ARK Next Generation Internet (ARKW) offloaded 72,302 shares, and ARK Fintech Innovation (ARKF) disposed of 36,621 securities.
Circle (CRCL) has performed tremendously since landing on Wall Street. On Monday, a day mostly weak for main assets due to geopolitical tensions, it closed up by 9.6% at $263.45 , gaining another 2.7% after hours.
Its market cap hit $68.9 billion, briefly topping Coinbase and USDC.
ARK also sold CRCL shares last week, offloading 342,658 Circle shares.
However, this must not be seen as a shift away from crypto, as while selling Circle to take profit, ARK fund’s ARKK bought 319,640 Robinhood shares worth $24.4 million, while ARKW and ARKF added 4,198 Coinbase shares worth $1.3 million.
What Lies Ahead for CRCL Stock?
After an 800% jump, some traders—especially retail—may look to take profits on Circle shares. However, analysts say CRCL still has room to grow.
Seaport Global Securities’ top analyst, Jeff Cantwell, initiated coverage on CRCL with a ‘buy’ rating and a $235 price target, being one of the first Wall Street experts to cover the stock.
He views Circle as a leading crypto player with the potential to outperform fintech peers over time.
Cantwell called Circle a “top-tier crypto disruptor,” citing its flagship stablecoin, USDC, as a significant long-term growth driver.
A key factor behind his bullish view is the improving global regulatory stance on stablecoins. As adoption rises, especially for USDC, Circle stands to benefit.
Cantwell also highlighted the broader stablecoin market’s potential—currently around $260 billion, but possibly growing to $2 trillion over the long term, with Circle well-positioned to lead.
He forecasts 25%–30% annual revenue growth, 40% gross margins, and improving profitability as Circle scales and gains operating leverage.
Cantwell’s $235 target is based on a 15 times EV/sales multiple using 2026 estimates, reflecting confidence in Circle’s model and market opportunity. But the stock has already surpassed it.
