Coming into today, shares of the investment bank had gained 0.22% in the past month. In that same time, the Finance sector lost 1.05%, while the S&P 500 gained 0.16%.
Wall Street will be looking for positivity from GS as it approaches its next earnings report date. On that day, GS is projected to report earnings of $9.14 per share, which would represent a year-over-year decline of 5.58%. Our most recent consensus estimate is calling for quarterly revenue of $10.37 billion, down 3.84% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $52.72 per share and revenue of $54.45 billion. These totals would mark changes of +113.1% and +22.21%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for GS. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company’s business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 remained stagnant. GS is holding a Zacks Rank of #2 (Buy) right now.
Investors should also note GS‘s current valuation metrics, including its Forward P/E ratio of 7.76. This represents a discount compared to its industry’s average Forward P/E of 10.94.
The Financial – Investment Bank industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 59, which puts it in the top 24% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
You can find more information on all of these metrics, and much more, on Zacks.com.