company background image
GS

Goldman Sachs GroupNYSE:GS Stock Report

Market Cap

US$124.1b

7D

-1.2%

1Y

100.8%

Updated

23 Sep, 2021

Data

Company Financials +
GS fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance5/6
Financial Health2/6
Dividends5/6

GS Overview

The Goldman Sachs Group, Inc., a financial institution, provides range of financial services for corporations, financial institutions, governments, and individuals worldwide.

Goldman Sachs Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Goldman Sachs Group
Historical stock prices
Current Share PriceUS$391.86
52 Week HighUS$185.52
52 Week LowUS$420.76
Beta1.5
1 Month Change-4.09%
3 Month Change6.26%
1 Year Change100.84%
3 Year Change72.07%
5 Year Change146.53%
Change since IPO456.82%

Recent News & Updates

Aug 21

Goldman Sachs And Its Recent 60% Dividend Hike

I last wrote about Goldman Sachs in early June 2021. The thesis was that it was overvalued by about 35% based on its then-current fundamentals and by about 20%. Since my last writing, there was little change in its price but a few things have changed in the fundamentals. This article, therefore, provides an updated assessment of its valuation, and the conclusion is the margin of safety is much improved now and GS is about fairly valued based on its forward financials.

Aug 18
Goldman Sachs Group (NYSE:GS) Has Announced That It Will Be Increasing Its Dividend To US$2.00

Goldman Sachs Group (NYSE:GS) Has Announced That It Will Be Increasing Its Dividend To US$2.00

The board of The Goldman Sachs Group, Inc. ( NYSE:GS ) has announced that it will be increasing its dividend on the...

Shareholder Returns

GSUS Capital MarketsUS Market
7D-1.2%-0.6%-0.5%
1Y100.8%68.1%37.5%

Return vs Industry: GS exceeded the US Capital Markets industry which returned 65.2% over the past year.

Return vs Market: GS exceeded the US Market which returned 36.2% over the past year.

Price Volatility

Is GS's price volatile compared to industry and market?
GS volatility
GS Beta1.5
Industry Beta1.19
Market Beta1

Stable Share Price: GS is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: GS's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
186940,800David Solomonhttps://www.goldmansachs.com

The Goldman Sachs Group, Inc., a financial institution, provides range of financial services for corporations, financial institutions, governments, and individuals worldwide. It operates through four segments: Investment Banking, Global Markets, Asset Management, and Consumer & Wealth Management. The company’s Investment Banking segment provides financial advisory services, including strategic advisory assignments related to mergers and acquisitions, divestitures, corporate defense activities, restructurings, and spin-offs; and middle-market lending, relationship lending, and acquisition financing, as well as transaction banking services.

Goldman Sachs Group Fundamentals Summary

How do Goldman Sachs Group's earnings and revenue compare to its market cap?
GS fundamental statistics
Market CapUS$124.07b
Earnings (TTM)US$19.63b
Revenue (TTM)US$55.21b

6.4x

P/E Ratio

2.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
GS income statement (TTM)
RevenueUS$55.21b
Cost of RevenueUS$5.91b
Gross ProfitUS$49.30b
ExpensesUS$29.67b
EarningsUS$19.63b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Oct 15, 2021

Earnings per share (EPS)55.32
Gross Margin89.30%
Net Profit Margin35.56%
Debt/Equity Ratio547.6%

How did GS perform over the long term?

See historical performance and comparison

Dividends

2.0%

Current Dividend Yield

9%

Payout Ratio

Valuation

Is Goldman Sachs Group undervalued compared to its fair value and its price relative to the market?

8.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GS ($391.86) is trading below our estimate of fair value ($428.63)

Significantly Below Fair Value: GS is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: GS is good value based on its PE Ratio (6.4x) compared to the US Capital Markets industry average (14.8x).

PE vs Market: GS is good value based on its PE Ratio (6.4x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

PEG Ratio: GS's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: GS is good value based on its PB Ratio (1.4x) compared to the US Capital Markets industry average (61.3x).


Future Growth

How is Goldman Sachs Group forecast to perform in the next 1 to 3 years based on estimates from 21 analysts?

-18.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GS's earnings are forecast to decline over the next 3 years (-18.5% per year).

Earnings vs Market: GS's earnings are forecast to decline over the next 3 years (-18.5% per year).

High Growth Earnings: GS's earnings are forecast to decline over the next 3 years.

Revenue vs Market: GS's revenue is expected to decline over the next 3 years (-10.1% per year).

High Growth Revenue: GS's revenue is forecast to decline over the next 3 years (-10.1% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: GS's Return on Equity is forecast to be low in 3 years time (12.1%).


Past Performance

How has Goldman Sachs Group performed over the past 5 years?

16.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GS has high quality earnings.

Growing Profit Margin: GS's current net profit margins (35.6%) are higher than last year (12.9%).


Past Earnings Growth Analysis

Earnings Trend: GS's earnings have grown by 16.5% per year over the past 5 years.

Accelerating Growth: GS's earnings growth over the past year (308.6%) exceeds its 5-year average (16.5% per year).

Earnings vs Industry: GS earnings growth over the past year (308.6%) exceeded the Capital Markets industry 77.4%.


Return on Equity

High ROE: GS's Return on Equity (19.5%) is considered low.


Financial Health

How is Goldman Sachs Group's financial position?


Financial Position Analysis

Short Term Liabilities: GS's short term assets ($1,268.5B) exceed its short term liabilities ($765.6B).

Long Term Liabilities: GS's short term assets ($1,268.5B) exceed its long term liabilities ($518.8B).


Debt to Equity History and Analysis

Debt Level: GS's debt to equity ratio (547.6%) is considered high.

Reducing Debt: GS's debt to equity ratio has increased from 443.3% to 547.6% over the past 5 years.

Debt Coverage: GS's debt is not well covered by operating cash flow (11.7%).

Interest Coverage: Insufficient data to determine if GS's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

What is Goldman Sachs Group current dividend yield, its reliability and sustainability?

2.04%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: GS's dividend (2.04%) is higher than the bottom 25% of dividend payers in the US market (1.35%).

High Dividend: GS's dividend (2.04%) is low compared to the top 25% of dividend payers in the US market (3.63%).


Stability and Growth of Payments

Stable Dividend: GS's dividends per share have been stable in the past 10 years.

Growing Dividend: GS's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (9%), GS's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: GS's dividends in 3 years are forecast to be well covered by earnings (22.7% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.9yrs

Average management tenure


CEO

David Solomon (59 yo)

2.92yrs

Tenure

US$23,940,657

Compensation

Mr. David Michael Solomon has been the Chief Executive Officer and Director of Goldman Sachs Group Inc. since October 1, 2018 and has been its Chairman since January 01, 2019. Mr. Solomon served as the Pre...


CEO Compensation Analysis

Compensation vs Market: David's total compensation ($USD23.94M) is above average for companies of similar size in the US market ($USD11.36M).

Compensation vs Earnings: David's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: GS's management team is considered experienced (2.9 years average tenure).


Board Members

Experienced Board: GS's board of directors are considered experienced (7.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: GS insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

The Goldman Sachs Group, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: The Goldman Sachs Group, Inc.
  • Ticker: GS
  • Exchange: NYSE
  • Founded: 1869
  • Industry: Investment Banking and Brokerage
  • Sector: Diversified Financials
  • Market Cap: US$124.073b
  • Shares outstanding: 321.87m
  • Website: https://www.goldmansachs.com

Number of Employees


Location

  • The Goldman Sachs Group, Inc.
  • 200 West Street
  • 29th Floor
  • New York
  • New York
  • 10282
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/23 22:58
End of Day Share Price2021/09/23 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.