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Goldman Sachs (GS) Outpaces Stock Market Gains: What You Should Know

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In the latest trading session, Goldman Sachs (GS - Free Report) closed at $388.05, marking a +0.58% move from the previous day. This change outpaced the S&P 500's 0.41% gain on the day.

Prior to today's trading, shares of the investment bank had lost 5.97% over the past month. This has lagged the Finance sector's loss of 1.6% and the S&P 500's loss of 4.08% in that time.

Wall Street will be looking for positivity from GS as it approaches its next earnings report date. In that report, analysts expect GS to post earnings of $9.71 per share. This would mark year-over-year growth of 0.31%. Our most recent consensus estimate is calling for quarterly revenue of $11.25 billion, up 4.3% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $53.19 per share and revenue of $55.08 billion, which would represent changes of +115% and +23.61%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for GS. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.89% higher. GS is holding a Zacks Rank of #3 (Hold) right now.

In terms of valuation, GS is currently trading at a Forward P/E ratio of 7.25. This valuation marks a discount compared to its industry's average Forward P/E of 11.25.

We can also see that GS currently has a PEG ratio of 0.38. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. GS's industry had an average PEG ratio of 0.64 as of yesterday's close.

The Financial - Investment Bank industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 112, which puts it in the top 45% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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