Stocks Close Mixed as Coach, IBM Underscore High Valuations, Netflix Impresses
The S&P 500 was up just 0.06% to 1,844.86, while the Dow Jones Industrial Average was down 0.25% to 16,373.34. The Nasdaq was higher by 0.41% to 4,243, buoyed by gains in Apple (AAPL)as Carl Icahn tweeted that he has been buying additional Apple stock over the past two weeks.
"Given the mixed bag in earnings and some disappointments, investors are really in a wait and see mode before making any additional commitment to the asset class," said Lon Erickson, the Santa Fe, New Mexico-based money manager at Thornburg Investment Management. Thornburg oversees about $90 billion.
Netflix (NFLX - Get Report)was surging more than 14% to $380.62 after exceeding Wall Street's fourth-quarter EPS and revenue expectations. The company surpassed 33 million domestic streaming subscribers during the period.
- Coach (COH) tumbled 6.11% to $49.34 after missing fourth-quarter earnings per share estimates by five cents at $1.06. Same-store sales plummeted 13.6%.
- Norfolk Southern (NSC) popped 5.01% to $93.15 after posting a fourth-quarter earnings increase of 24%, topping estimates.
- IBM IBM shed 3.28% to $182.42 after the company on Tuesday reported fourth-quarter earnings that beat expectations, but revenues that came in light. Upbeat software and cloud performance helped offset the continued drag from its hardware units.
- Markets closed mixed Tuesday after lackluster results for companies such as Travelers (TRV), Johnson & Johnson (JNJ) and Verizon (VZ).
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