Please disable Ad Blocker before you can visit the website !!!

Goldman Sachs Long

by SignalFactory   ·  July 18, 2022 | 10:06:25 UTC  

Goldman Sachs Long

by SignalFactory   ·  July 18, 2022 | 10:06:25 UTC  

Goldman Sachs (NYSE: GS) is scheduled to report its fiscal Q2 2022 results on Monday, July 18, 2022. Trefis expects Goldman Sachs to beat the consensus estimates of revenues and earnings. The investment bank posted better than expected results in the last quarter, despite a 27% y-o-y decrease in the top-line. This was driven by a significant drop in asset management revenues, followed by negative growth in the investment banking business. On the flip side, the global markets and consumer & wealth management segments reported higher revenues. Trefis Team expects the same trend to continue in the second quarter.

Trefis estimates Goldman Sachs’ valuation to be around $392 per share which is 34% above the current market price of $293.

1) Revenues expected to beat the consensus estimates
Goldman Sachs’ revenues grew 33% y-o-y in 2021 to $59.3 billion. It was mainly driven by a 58% jump in investment banking, followed by an 87% rise in asset management, and a 25% growth in consumer & wealth management units.

Trefis estimates Goldman Sachs’s fiscal Q2 2022 revenues to be around $11.53 billion, 5% above the $10.94 billion consensus estimate. We expect the consumer & wealth management and global markets to drive second-quarter results.

2) EPS is likely to beat the consensus estimates
Goldman Sachs Q2 2022 adjusted earnings per share are expected to be $8.06 per Trefis analysis, almost 11% above the consensus estimate of $7.25. The bank had a strong run in 2021, with its adjusted net income increasing by 137% y-o-y to $21.2 billion. It was partly due to growth in the top line and partly due to a favorable decrease in the provisions for credit losses. That said, the trend changed in the first quarter of 2022, with the firm posting a 43% y-o-y drop in the adjusted net income to $3.8 billion. The decline was because of lower revenues and higher provisions figures. Overall, Goldman Sachs is likely to report an annual EPS of $38.67 for the full year of 2022.

3) Stock price estimate 34% higher than the current market price
We arrive at Goldman Sachs’ valuation, using an EPS estimate of around $38.67 and a P/E multiple of just above 10x in fiscal 2022. This translates into a price of $392, which is 34% above the current market price of around $293.

Goldman Sachs Long (Buy)
Enter at: 300.03
T.P_1: 325.00
T.P_2: 340.47
T.P_3: 367.11
T.P_4: 392.00
S.L: 271.54

Goldman Sachs
Goldman Sachs
All information on this website is of a general nature. The information is not adapted to conditions that are specific to your person or entity. The information provided can not be considered as personal, professional or legal advice or investment advice to the user. This website and all information is intended for educational purposes only and does not give financial advice. Signal Factory is not a service to provide legal and financial advice; any information provided here is only the personal opinion of the author (not advice or financial advice in any sense, and in the sense of any act, ordinance or law of any country) and must not be used for financial activities. Signal Factory does not offer, operate or provide financial, brokerage, commercial or investment services and is not a financial advisor. Rather, Signal Factory is an educational site and a platform for exchanging Forex information. Whenever information is disclosed, whether express or implied, about profit or revenue, it is not a guarantee. No method or trading system ensures that it will generate a profit, so always remember that trade can lead to a loss. Trading responsibility, whether resulting in profits or losses, is yours and you must agree not to hold Signal Factory or other information providers that are responsible in any way whatsoever. The use of the system means that the user accepts Disclaimer and Terms of Use. Signal Factory is not represented as a registered investment consultant or brokerage dealer nor offers to buy or sell any of the financial instruments mentioned in the service offered. While Signal Factory believes that the content provided is accurate, there are no explicit or implied warranties of accuracy. The information provided is believed to be reliable; Signal Factory does not guarantee the accuracy or completeness of the information provided. Third parties refer to Signal Factory to provide technology and information if a third party fails, and then there is a risk that the information may be delayed or not delivered at all. All information and comments contained on this website, including but not limited to, opinions, analyzes, news, prices, research, and general, do not constitute investment advice or an invitation to buy or sell any type of instrument. Signal Factory assumes no responsibility for any loss or damage that may result, directly or indirectly, from the use or dependence on such information. All information contained on this web site is a personal opinion or belief of the author. None of these data is a recommendation or financial advice in any sense, also within the meaning of any commercial act or law. Writers, publishers and affiliates of Signal Factory are not responsible for your trading in any way. The information and opinions contained in the site are provided for information only and for educational reasons, should never be considered as direct or indirect advice to open a trading account and / or invest money in Forex trading with any Forex company . Signal Factory assumes no responsibility for any decisions taken by the user to create a merchant account with any of the brokers listed on this website. Anyone who decides to set up a merchant account or use the services, free of charge or paid, to any of the Forex companies mentioned on this website, bears full responsibility for their actions. Any institution that offers a service and is listed on this website, including forex brokers, financial companies and other institutions, is present only for informational purposes. All ratings, ratings, banners, reviews, or other information found for any of the above-mentioned institutions are provided in a strictly objective manner and according to the best possible reflection of the materials on the official website of the company. Forex trading is potentially high risk and may not be suitable for all investors. The high level of leverage can work both for and against merchants. Before each Forex investment, you should carefully consider your goals, past experience and risk level. The opinions and data contained on this site should not be considered as suggestions or advice for the sale or purchase of currency or other instruments. Past results do not show or guarantee future results. Neither Signal Factory nor its affiliates ensure the accuracy of the content provided on this Site. You explicitly agree that viewing, visiting or using this website is at your own risk.

Signal Factory is now on Telegram

make sure to join our Telegram channel now and you will not miss any update