When Cathie Wood, the visionary behind Ark Invest, shifts her investment strategy, Wall Street listens. And while she’s frequently sung praises for the likes of Tesla, this week has marked a change in tune.

In a bold move, Wood recently scooped up a whopping 777,468 shares of Ginkgo Bioworks (DNA). If you haven’t been tracking this biotech trailblazer, here’s the scoop: Ginkgo is a Boston-based biotech giant that’s been garnering attention due to its promising partnership with tech behemoth, Alphabet (GOOGL). Their mission? To advance large-language models, putting artificial intelligence at the forefront.

Given Wood’s well-documented penchant for seizing investment opportunities during market downturns, this recent acquisition is on-brand. Yet, it’s fascinating to observe her diversifying her portfolio, especially as she has been trimming her holdings in high-profile stocks like Tesla and Nvidia over recent weeks.

However, investing in Ginkgo isn’t without its perils. This ambitious biotech company, founded by a group of MIT savants in 2008, hasn’t yet hit the profitability benchmark. But, they’re not short of groundbreaking aspirations. Ginkgo’s vision of streamlining lab solutions, thereby slashing costs and manual labor, could potentially revolutionize the biotech landscape.

But here’s the kicker: since making its debut on the New York Stock Exchange in September 2021 with a promising start above $11, Ginkgo’s stock has been on a roller-coaster ride. It peaked over $14 the following month and has since been on a downward spiral, hovering around a mere $1.86 recently.

So, is this a calculated gamble or a strategic masterstroke by Wood? Only time will tell. But for those who share Wood’s penchant for seeing potential in the overlooked and underappreciated, Ginkgo Bioworks might just be the next big thing on their radar.