Here Are 3 Hot Things to Know About Stocks Right Now
- Stocks have risen in eight of the past 11 sessions.
- With gains on Tuesday, the Dow Jones Industrial Average is now positive for 2018.
- Netflix Inc. (NFLX) closes up nearly 10% after posting higher-than-expected subscriber growth in the first quarter.
Wall Street Overview
The Dow Jones Industrial Average rose 213 points, or 0.87%. The S&P 500 gained 1.07% and the Nasdaq rose sharply by 1.74%.
Goldman Sachs posted first-quarter earnings of $6.95 a share, smashing estimates of $5.58. Revenue in the quarter rose to $10.04 billion from $8.03 billion a year earlier.
The Wall Street firm said first-quarter profit surged 26% as price swings returned to global markets following an unusually calm 2017, reviving client activity and boosting stock-trading revenue by 38% from a year earlier to $2.31 billion. Shares fell 1.6% after rising more than 1% earlier in the session.
UnitedHealth posted modestly weaker-than-expected first-quarter earnings Tuesday but lifted its full-year outlook as revenue topped Wall Street forecasts.
Johnson & Johnson (JNJ) posted first-quarter adjusted profit of $2.06 a share, higher than estimates of $2. Revenue in the quarter rose 12.6% to $20.01 billion and also topped forecasts. Shares declined 0.93%.
Netlfix said revenue for the three months ended in March rose 40% from the same period last year to a record $3.7 billion, helping net income surge 62.8% to $290.1 million, or 64 cents a share, easily topping Wall Street's forecasts. Netflix also said it added 1.96 million U.S. and 5.46 million international streaming subscribers, beating the consensus estimates of 1.5 million and 5 million, respectively, the highest readings since the company went public in May 2002.
Shares of Tesla Inc. (TSLA) fell 1.2% on Tuesday after the electric carmaker said it would temporarily suspend production of its Model 3 sedan in order to address "bottlenecks" at its plant in Fremont, Calif.
The move, which was first reported by Buzzfeed and later confirmed by the company, marked the second time Tesla has halted Model 3 production this year. The halt in production could raise further questions as to whether the company will be able to meet its aggressive assembly targets and generate the kind of revenue it will need to become cash flow positive in the coming quarters, something Tesla founder and CEO Elon Musk said last week was imminent.Learn more about Retirement Daily and get a free trial subscription.