Disney Drags Down DowDIS) -- which was weak on Q2 earnings results. The Dow dropped 10.22 points and closed out the trading day at 17,540.47. The NASDAQ had a strong day, posting gains of 34.40 points and closing at 5,139.95. The S&P 500 added 6.52 points and closed out the day at 2,099.84.
Disney’s (DIS) Falling Ad Sales Spark a SelloffThere were major problems today in the Magic Kingdom, and the Dow paid the price for them.
Although it’s a relatively small part of the Disney family of companies, ESPN has a reputation for bringing in solid advertising revenue. And this time around the sports network fouled out. Revenues were down 5% year over year, and expected to keep falling through the rest of the fiscal year.
Media stocks in general have been hammered this quarter, as more customers cut the cord and start using services like Netflix (NFLX). What’s really surprising about this latest news isn’t that television revenue is down, it’s that it’s down at ESPN which doesn’t have an online alternative. Put plainly, it’s a lot less surprising for a network like CBS -- which has a ton of its content online -- to take a hit like this than it is for ESPN. This could be the earliest warning of hard times ahead for traditional media broadcasters.
First Solar (FSLR) Leads the Way in Gains TodayThe nation’s leading solar energy equipment manufacturer, First Solar (FSLR), led the major indices in gains today. It piled on profits of over 16% per share in the wake of a positive earnings report. First Solar posted a 7.42 point gain on the day, and closed at $51.92 per share.
Genworth Financial (GNW) Implodes on EarningsSmall-cap darling and life insurance player Genworth Financial (GNW) had an extremely weak day today. The company’s call to investors reporting their Q2 earnings was a bloodbath. Genworth missed on almost every major marker, and shareholders were in a hurry to unload after the call. Genworth Financial lost nearly 20% of its value by the end of trading today. In trading today, Genworth posted a 1.37 point loss, and closed at $5.65 per share.
Published on Aug 5, 2015By Aaron Phillips