Goldman Sachs (GS - Free Report) closed the most recent trading day at $196, moving -0.18% from the previous trading session. This change lagged the S&P 500's 0.64% gain on the day. Meanwhile, the Dow gained 0.7%, and the Nasdaq, a tech-heavy index, added 0.91%.
Coming into today, shares of the investment bank had lost 0.73% in the past month. In that same time, the Finance sector gained 2.8%, while the S&P 500 gained 4.16%.
Investors will be hoping for strength from GS as it approaches its next earnings release. In that report, analysts expect GS to post earnings of $6 per share. This would mark a year-over-year decline of 13.67%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $9.74 billion, down 2.91% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $23.87 per share and revenue of $36.27 billion, which would represent changes of -5.54% and +0.29%, respectively, from the prior year.
Any recent changes to analyst estimates for GS should also be noted by investors. Recent revisions tend to reflect the latest near-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.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.27% lower. GS currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that GS has a Forward P/E ratio of 8.23 right now. This valuation marks a discount compared to its industry's average Forward P/E of 12.55.
It is also worth noting that GS currently has a PEG ratio of 1.13. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Financial - Investment Bank was holding an average PEG ratio of 1.09 at yesterday's closing price.
The Financial - Investment Bank industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 105, which puts it in the top 42% 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.
To follow GS in the coming trading sessions, be sure to utilize Zacks.com.