- Goldman’s net revenue for the quarter reached $15.06 billion, increasing by 6% year-over-year and beating the estimate of $14.76 billion.
- Equities sales and trading revenue was $4.19 billion, surpassing the estimate of $3.8 billion.
- The division for Global Banking & Markets reported net revenues of $10.71 billion, marking a 10% year-over-year rise against the estimate of $10.42 billion.
- Investment banking revenue fell to $1.92 billion, a decline of 8.1% from the previous year and below the estimated $2.03 billion.
- Advisory revenue experienced a 22% year-over-year reduction to $792 million, missing the estimate of $910.4 million.
- Goldman achieved EPS of $14.12, improving from $11.58 the previous year.
- Net interest income came in higher than expected at $2.90 billion against the $2.28 billion estimate.
- Platform Solutions delivered pretax earnings of $25 million with an expected loss of $106.5 million.
- Total deposits grew by 8.8% quarter-over-quarter to $471 billion.
- The provision for credit losses fell by 9.7% year-over-year to $287 million, much lower than the estimate of $410.4 million.
- Total operating expenses saw an increase of 5.4% year-over-year to $9.13 billion, slightly under the $9.17 billion forecast.
- Annualized Return on Equity (ROE) rose to 16.9%, above the 14.9% estimate.
- Goldman’s assets under management grew by 11% year-over-year, reaching $3.17 trillion versus the $3.15 trillion estimate.
- The efficiency ratio slightly improved to 60.6% from 60.9% the previous year, better than the 61.6% estimate.
- Total net asset under supervision inflows were $24 billion, in contrast to the $15 billion outflows from last year.
- The company’s standardized CET1 ratio was 14.8%, close to the 15% expectation.
- Loans were valued at $210 billion, exceeding the anticipated $197.61 billion.
Goldman Sachs Group on Smartkarma
Analyst coverage on Smartkarma is buzzing about Goldman Sachs Group as top independent analysts from Asia Real Estate Tracker recently published a bullish report on the company’s expansion into Japan through a data center joint venture. The report highlights how Goldman Sachs, alongside CPPIB and S&P, is demonstrating optimism in the Asian property markets through significant investments. The partnership with Asia Pacific Land in Japan marks a strategic move by Goldman Sachs’ GCI to broaden its presence in Asia, reflecting a positive outlook on the region’s real estate prospects.
Furthermore, the Asia Real Estate Tracker report indicates a broader trend of increasing investments in the Asian real estate sector, with CPPIB and MGRV teaming up for a $350 million venture in Korean rental housing. S&P’s forecast of a rebound in China’s property market, fueled by a rise in secondary sales, adds to the optimistic sentiment surrounding real estate opportunities in the region. The analyst coverage on Smartkarma provides valuable insights into the growth prospects and strategic moves of key players like Goldman Sachs Group in the dynamic Asian property markets.
A look at Goldman Sachs Group Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 3 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Goldman Sachs Group shows a positive long-term outlook. With strong scores in value and momentum, the company appears to be well-positioned for growth and performance. The company’s robust value score indicates that it may offer attractive investment opportunities relative to its current price. Additionally, a high momentum score suggests that Goldman Sachs Group has been performing well and is likely to continue its positive trend in the future.
Although the company’s dividend, growth, and resilience scores are slightly lower, they still indicate stability and moderate growth potential. With its diversified portfolio of services catering to a wide range of clients, including corporations, financial institutions, governments, and high-net worth individuals, Goldman Sachs Group‘s overall outlook seems promising for investors looking at the long-term horizon.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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