You ever notice how the best investors do the opposite of what most people do when stocks crater? I just caught something interesting about Cathie Wood's recent moves, and it's a pretty textbook example of her playbook.

So AI stocks have been taking some hits lately, and Wood saw it as the perfect moment to go hunting. She picked up Advanced Micro Devices right after it tanked 17% in a single trading session back in February. The thing is, AMD actually beat earnings expectations - but the market got disappointed because the Q1 guidance at $9.8 billion wasn't as aggressive as some thought it would be given all the AI chip demand.

Here's what's interesting: Wood added AMD to five of her funds including Ark Innovation. It's now her sixth largest holding at nearly 3.9% of the fund. AMD makes GPUs that basically power AI training and inference - they're competing directly with Nvidia in this space. The company's valuation got crushed to 29x forward earnings from over 60x just months earlier. When you think about the AI market potentially reaching trillions, AMD's long-term position looks pretty solid even if near-term guidance disappointed people.

But that's not the only bargain she grabbed. Cathie Wood also loaded up on CoreWeave last week. This one dropped about 50% from its peak even though the company hasn't reported earnings yet. CoreWeave went public last March and absolutely flew - up over 300% in the first few months - but it's pulled back significantly since then. Still up 80% from the IPO though.

What CoreWeave does is provide AI infrastructure. They basically give companies access to Nvidia GPUs without forcing them to build their own data centers. Revenue has been surging in the triple digits, but there's been some nervousness about AI valuations and whether the spending will sustain. Wood sees the pullback as opportunity rather than a red flag.

This is pretty classic Cathie Wood strategy - finding innovative companies in transformative spaces, waiting for the market to panic, then buying at reasonable prices for the long haul. Her Ark Innovation fund is up over 50% the past three years. Whether these specific bets work out, that's the approach that's been working for her.