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The most recent trading session ended with Goldman Sachs (GS) standing at $559.67, reflecting a -1.41% shift from the previouse trading day's closing. The stock fell short of the S&P 500, which registered a gain of 0.55% for the day. Meanwhile, the Dow experienced a rise of 0.52%, and the technology-dominated Nasdaq saw an increase of 0.7%.
The investment bank's stock has dropped by 13.76% in the past month, falling short of the Finance sector's loss of 3.97% and the S&P 500's loss of 5.56%.
The investment community will be paying close attention to the earnings performance of Goldman Sachs in its upcoming release. It is anticipated that the company will report an EPS of $12.64, marking a 9.15% rise compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $15.28 billion, up 7.5% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $47.12 per share and revenue of $57.64 billion, indicating changes of +16.23% and +7.71%, respectively, compared to the previous year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Goldman Sachs. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Goldman Sachs is currently sporting a Zacks Rank of #1 (Strong Buy).
Investors should also note Goldman Sachs's current valuation metrics, including its Forward P/E ratio of 12.05. This denotes a discount relative to the industry's average Forward P/E of 13.08.
It is also worth noting that GS currently has a PEG ratio of 0.79. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Financial - Investment Bank industry had an average PEG ratio of 1.08 as trading concluded yesterday.