Baby's got beats.
It may only be Tuesday, but at least the news isn't all bad.
Here are the top stories from today.
CEO by day, DJ by night
David Solomon was tapped to become Goldman Sachs (GS) CEO starting Oct. 1.
Lloyd Blankfein, the current CEO of Goldman, is planning to retire on Sept. 30.
But being tapped as Goldman's newest CEO isn't Solomon's only accomplishment—he's also a DJ.
Yeah, you read that right.
A post shared by D-Sol (@djdsolmusic) on
DJ D-Sol coming to a location near you.
Hey, maybe we'll finally get a break from the classical music that plays as you wait for the investor relations calls to start. I know I would rather be jamming to DJ D-Sol.
In other news—maybe not as important, because what beats a CEO/DJ?—Goldman posted earnings on Tuesday.
TheStreet's Brian Sozzi reported that Goldman crushed it and released strong earnings.
Goldman delivered strong results across multiple lines, capping off its best first half-return on tangible equity performance in several years," said Jeff Marks, senior portfolio analyst for Jim Cramer's Action Alerts PLUS members club. "This impressive result combined with the resumption of the buyback program provides investors with what I believe to be a significant long-term value opportunity."
And yet, the stock fell. Talk about a volatile market.
RIP, Netflix Inc. (NFLX) .
The streaming giant was crushed in the market after it posted earnings that beat, but missed on the subscriber growth.
TheStreet's Annie Gaus reported that "the results were a bummer, to say the least. Netflix added only 670,000 U.S. subscribers and 4.47 million internationally this quarter -- missing projections of 1.2 million and five million, respectively."
Netflix also seems to have a spending problem, which may explain why the whiffing on subscriber growth is anxiety-inducing for investors. Netflix has often defended their spending, with CEO Reed Hastings telling investors in July 2017 that blowing cash was an "indicator of enormous success." Netflix spent $8 billion on content in 2017, and has billions more in spending commitments for this year. It pays for some of that by selling debt, having raised $1.9 billion in debt in April.
The Model 3 is making money
Jonas Elmerraji reports that the Model 3 is actually profitable. "A lot of eyes are on the economics of Model 3 production right now. After all, Tesla CEO Elon Musk has continually guided that the company will achieve profitability in the third and fourth quarters, and reaching economies of scale in the Model 3 is a key piece of that equation," wrote Elmerraji.
Tesla is achieving those margins through deep levels of systems integration. By relying on in-house technology to do more work, Tesla is able to keep the costs of its third-party components low.
Nice job, Tesla. Now we wait and see if this works for them.
That's a wrap for today.