HomeFinancial MarketsGoldman Sachs Beats Expectations Despite 48% Profit Drop

Goldman Sachs Beats Expectations Despite 48% Profit Drop

Goldman Sachs Group Inc came on top in the second quarter, reporting results that decisively beat the analysts’ expectations. According to Monday’s report, the investment bank had $7.73 a share compared to an estimated $6.58 per share and $11.86 billion revenue vs. $10.86 billion expected.

This is considered a success for Goldman Sachs despite a 48 percent drop in profits, which came at $2.8 billion as opposed to $5.3 billion in the same period in 2021. This is because Goldman joined Citigroup as one of the few major U.S. banks to have a positive second quarter. The majority of competitors, including Wells Fargo, JPMorgan Chase, and Morgan Stanley, either reported mixed results or missed the mark entirely.

Goldman outperforming expectations isn’t a surprise considering its track record of doing well in times of challenging economy. The surging prices of assets surely helped, given the bank’s diverse investment vehicle.

Following the report, Goldman Sachs stock (GS) took a four percent jump in premarket trading. After closing at $293.67 on Friday, the bank’s shares reached $309.33 at one point on Monday morning. Still, this is still a 23 percent drop from the start of the year, when Goldman traded north of $400 per share.

Gold Continues to Drop From Record Highs, Dollar Ends Its Slide

After reaching fresh record highs at the beginning of last week, gold has been in the midst of a continuous drop. Meanwhile, the U.S....

DoorDash Makes $3.6 Billion Offer for UK Rival Deliveroo

U.S. food delivery giant DoorDash is looking to acquire UK-based rival Deliveroo in a deal that could be valued at $3.6 billion. Deliveroo confirmed the...

Chipotle Misses on Revenue and Same-Store Sales, Stock Slides

Fast casual restaurant chain Chipotle reported weaker-than-expected earnings for the first quarter of 2025. The company's revenue and same-store sales missed the estimates of...