Investing.com – US stocks closed at record highs on Monday as focus shifted toward earnings amid ongoing investor optimism on the US economy.
The Dow Jones Industrial Average closed lower at 25,279.78. The S&P 500 closed 0.17% higher, while the Nasdaq Composite closed at 7157.39, up 0.29%.
In what a quiet day on the economic calendar, investor focus shifted toward earnings as shares of retailer Kohl’s Corporation (NYSE:KSS) surged more than 5% after reporting same-store sales during the holidays rose nearly 7% compared to the same period a year ago.
The solid performance over the holiday period prompted the retailer to raise its full-year profit outlook, estimating fiscal 2017 earnings per share to range from $4.10 to $4.20, versus a prior forecast of $3.72 to $3.92.
Shares of GoPro Inc (NASDAQ:GPRO) fell more than 10% after the company reported its preliminary fourth-quarter results which fell below consensus estimates.
The company estimated fourth-quarter revenue of $340 million that was lower than its prior estimate of $460 million to $480 million.
A report suggesting JPMorgan (NYSE:JPM) was appointed to source a suitable suitor for GoPro as the company is nearing a sale lifted the shares off session lows.
Financials, meanwhile, continued to trickle lower ahead of a raft of bank earnings on Jan. 12, when JPMorgan and Blackrock (NYSE:BLK) are expected report earnings. Financials are expected to post strong earnings for the quarter as the recent tax reform measures are widely expected to boost earnings growth.
In corporate news, Apple (NASDAQ:AAPL) closed lower despite UBS reiterating its buy rating on shares of Apple, predicting the tech giant will use the overseas cash repatriation provision included in the tax bill to undertake a massive $120 billion buy-back programme of its stock.
The slump in Apple, however, was offset by a sharp 6% rally in Tesla (NASDAQ:TSLA) as investors continued to cheer signs that "bottlenecks" limiting production of its Model 3 vehicle is easing after the electric automaker recently lifted its Model 3 production target to "about 2,500" units by the end of Q1 2018. Baird on Monday maintained its price target of $411 on the stock of Tesla.
'Bulls and Bears' on Wall Street
The top Dow gainers for the session: Caterpillar Inc (NYSE:CAT) up 2.5%, Wal-Mart Stores Inc (NYSE:WMT) up 1.5% and Cisco Systems Inc (NASDAQ:CSCO) up 1%
UnitedHealth Group Incorporated (NYSE:UNH) down 1.7%, Goldman Sachs Group Inc (NYSE:GS) down 1.5%, and Walt Disney Company (NYSE:DIS) down 1.4%, were among the worst Dow performers of the session.