Here Are 3 Hot Things to Know About Stocks Right Now
- The Dow Jones Industrial Average rose after solid earnings from several bellwethers helped to allay growth worries.
- International Business Machines Corp. (IBM - Get Report) jumped 8.46% after the technology giant posted adjusted fourth-quarter earnings that beat estimates and issued an outlook for the year that was higher than forecasts.
- Procter & Gamble Co. (PG - Get Report) posted modestly stronger-than-expected second-quarter earnings and raised its full-year sales guidance. The stock soared 4.9%.
Wall Street Overview
The Nasdaq, which spent most of the day in the red, held a late rally to close Wednesday's session in the green while the Dow gained triple digits.
The Dow Jones Industrial Average rose 171 points, or 0.7%, to end at 24,576. At its high for the session the blue-chip index gained 296 points. The S&P 500 was up 0.22%, and the Nasdaq was closed up 0.08%. The Dow sank 1.2% on Tuesday, the S&P 500 fell 1.42% and the Nasdaq slumped 1.91%.
International Business Machines Corp. (IBM - Get Report) jumped 8.46% Wednesday after the giant technology company posted adjusted fourth-quarter earnings that beat estimates and its outlook for the year also came in higher than forecasts.
IBM said adjusted profit for the fourth quarter was $4.87 a share, beating Wall Street forecasts of $4.82. Revenue fell to $21.76 billion in the quarter from $22.54 billion a year earlier but still managed to top forecasts of $21.73 billion.
The company said Tuesday it expects adjusted earnings of "at least $13.90" a share, above forecasts of $13.80, but said that figure won't include the impact of its $34 billion takeover of software company Red Hat Inc. (RHT - Get Report) last October, a deal that is expected to close in the second half of 2019. IBM also guided for free cash flow in 2019 of roughly $12 billion, which is below consensus of $13 billion.
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Procter & Gamble Co. (PG - Get Report) posted modestly stronger-than-expected second-quarter earnings and raised its full-year sales guidance thanks to solid sales for its skincare products. The stock was up 4.9%.
United Technologies Corp. (UTX - Get Report) rose 5.4% after the industrial company posted fourth-quarter adjusted earnings of $1.95 a share, smashing estimates of $1.55, as sales in the period jumped 15%. The company also issued a strong forecast for 2019.
Sales in the quarter were $18 billion, ahead of analysts' forecasts of $16.8 billion. Organic growth in the quarter was 11%.
Comcast Corp. (CMCSA - Get Report) was up 5.5% after it posted better-than-expected fourth-quarter earnings and boosted its dividend by around 10% thanks to slowing customer departures from its video business amid increasing competition from the likes of Netflix Inc. (NFLX - Get Report) .
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Kimberly-Clark Corp. (KMB - Get Report) reported weaker-than-expected fourth-quarter earnings as profit margins declined in a "challenging" environment of higher input prices and increased currency market volatility. The stock fell 2.7%.
Walmart Inc. (WMT - Get Report) rose 1.26% to $98.72 Wednesday after the world's biggest retailer was upgraded to overweight from neutral by investment bank Morgan Stanley with a price target of $110 a share.