The markets were mostly lower today, though there were moments of green. As earnings season gets underway it is normal to see a slight disconnect if there is one or two names that have stellar, or very poor earnings reports.
The Dow 30 was positive by 22 thanks to Johnson & Johnson, the S&P 500 lost 3, and the Nasdaq 100 was the weakest, losing 19 thanks to Netflix.
Netflix (NFLX ) suffered a severe decline today, losing 13.13% as traders responded to a below-consensus reading of the company's subscriber count. The company reported 160,000 additions domestically and 1.52 million internationally. In addition to this news, the media streaming company lowered its guidance on additions for the third quarter. Shares sold off to prior lows that were set in June on over 3 times average volume.
Lockheed Martin (LMT ) enjoyed a pop to new highs today (1.04%) after beating analysts' estimates for the quarter. On the conference call, Lockheed raised its earnings outlook for the fiscal year, estimating total earnings of $12.15 to $12.45 per share.
EMC (EMC ) moved to new 2016 highs (2.07%) after beating bottom-line estimates on in-line revenue. We should also note that shareholders recently approved its proposed merger with Dell, expecting the transaction to close in the originally announced time frame.
Supporting the Dow today was Johnson & Johnson (JNJ ) which enjoyed a 1.71% gain after topping analysts' estimates for the quarter. The company also raised its full-year earnings estimates above consensus. Shares of the company have been in an uptrend since mid-February.
Chipotle Mexican Grill (CMG ) enjoyed a nice 1.53% gain today ahead of the company's earnings announcement. Traders supported the stock today thanks to an upgrade to "Outperform" from "Underperform" at CLSA.
