Technology has been one of the worst-performing sectors in the stock market this year, which is in stark contrast to its monster gains during 2020 and 2021. Not even prolific tech investor Cathie Wood has escaped the carnage. Wood is the head of Ark Investment Management, and its flagship Ark Innovation ETF (NYSEMKT: ARKK) has lost 57% of its value this year.

Ark is known for investing in innovative companies with long-term time horizons, and despite the Ark Innovation ETF suffering steep losses this year, it has still more than doubled since its inception in 2014. That highlights the importance of ignoring short-term market gyrations and focusing on the big picture.

Three of Ark's seven ETFs currently own electric vehicle powerhouse Tesla (NASDAQ: TSLA), and those bets might be set to pay off big time. Tesla stock hit a 52-week low of $206.86 in May, and Ark thinks it could soar to $1,533.33 by 2026. The stock has already bounced to about $270, but that leaves plenty of upside potential for investors who buy now and take a long-term view.

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Source Fool.com