Yahoo Finance S&P Hits New All-Time High; Netflix, T.I. Mixed in Q4
Another relatively strong trading session in the stock market today welcomed market participants. Well, the Dow gave back some of its all-time high close yesterday — -96 points, -0.25%, back below 38K to 37,905. And the small-cap Russell 2000 slipped -0.28% on the day. But the S&P 500 notched a new all-time high close — +14.17 points, +0.29% to 4864.60 — while the Nasdaq climbed +65 points, +0.43%, to lead all major indices.
After the closing bell, Netflix NFLX is out with a mixed Q4 report, missing earnings expectations in the quarter by 9 cents to $2.11 per share (but up more than +1500% from the year-ago quarter’s 12 cents per share) on revenues of $8.83 billion, nicely above the $8.72 billion anticipated. Net subscriber adds blew the doors off expectations: 13 million versus 8.9 million estimated.
Likewise, guidance for Q1 is also mixed, but reversed on top and bottom lines: earnings are expected to come in at $4.49 per share, compared to $4.00 from the Zacks consensus, while sales for next quarter are expected to reach $9.24 billion, somewhat below the $9.28 billion estimated. Netflix said in its press release that it will not be joining in with the consolidation activity ongoing in the space; the company said itv is not in the market for linear assets, near term.
Texas Instruments TXN was also mixed in its Q4 after today’s close, beating estimates on the bottom line by 3 cents to $1.49 per share, while coming in light on revenues: $4.08 billion from the Zacks consensus $4.11 billion anticipated. Guidance for Q1 was down as well, helping the stock — up more than +7% in the past week — down close to -5% in late trading at this hour. The auto and industrial markets reported softer results than investors were hoping for.
Medical device giant Intuitive Surgical ISRG beat expectations on its bottom line in Q4 this afternoon, with earnings of $1.60 per share outpacing the expected $1.47 (and notably higher than the $1.23 per share reported a year ago). Revenues came in-line at $1.93 billion, and shares are up mildly on the news. The manufacturer of the da Vinci robot surgical systems — which performs minimally invasive surgeries for prostates, cardiac valve and other indications — is already up +12% year to date and +44% from a year ago.
Tomorrow brings us the January print on S&P flash Service and Manufacturing PMI after the opening bell. Both metrics are expected to cool somewhat to 51.2 and 47.2, respectively. Q4 earnings reports from Tesla TSLA and IBM IBM headline an advancing earnings season narrative after the close, with Kimberly-Clark KMB and General Dynamics GD posting results ahead of the open.
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