Stock market today: S&P 500, Dow in fresh record close as Netflix shines
Investing.com– The S&P 500, Dow closed at fresh record highs, as investors digested more quarterly corporate earnings, including stronger-than-expected numbers from streaming giant Netflix.
At 4.00 p.m. ET (2000 GMT), the Dow Jones Industrial Average rose 37 points, or 0.1% to a record close of 43,275.91, the S&P 500 index climbed 0.4% to a record close of 5,864.67, and the NASDAQ Composite gained 0.6%.
Netflix surges on Q3 beat
Netflix (NASDAQ:NFLX) shares rose over 11% after the streaming giant reported stronger-than-expected third-quarter earnings and also provided an upbeat outlook for the current quarter.
The firm added more subscribers than expected, with more people signing up for Netflix’s ads-based subscription tiers.
“The most significant advantage of the ad tier so far is that it limits churn, lowering pressure on adding new subscribers,” Wedbush said in a Friday note as it lifted its price target on the stock to $800 from $775.
The earnings set a positive tone for upcoming prints from several technology firms in the coming week. Alphabet (NASDAQ:GOOGL) is set to report on Tuesday, while Tesla (NASDAQ:TSLA) and Amazon (NASDAQ:AMZN) are due later in the week.
Elsewhere, American Express (NYSE:AXP) stock dropped over 3% after the credit card giant reported third-quarter profit revenue below expectations and bigger provisions for credit losses, even as higher spending on its cards prompted an increase in full-year guidance.
Procter & Gamble (NYSE:PG) stock fell 0.6% after the household goods manufacturer missed expectations for first-quarter sales on Friday, as consumers in its major markets, the U.S. and China, switched to cheaper household and personal care brands.
CVS health tumbles on leadership change; Lamb West rises on activist interest
CVS Health Corp (NYSE:CVS) fell more than 5% after the pharmacy chain said it had appointed David Joyner as chief executive, succeeding Karen Lynch,
Lamb Weston Holdings Inc (NYSE:LW) jumped more than 10% after activist investor Jana Partners said it had taken a stake in company and detailed plans to encourage the company to explore a sale.
(Peter Nurse, Ambar Warrick contributed to this article.)