Zacks Investment Research Upgrades Goldman Sachs Group Inc. (GS) to Buy
Goldman Sachs Group Inc. (NYSE:GS) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a report released on Tuesday. The firm presently has a $186.00 price objective on the investment management company’s stock. Zacks Investment Research’s price target would indicate a potential upside of 11.36% from the stock’s current price.
According to Zacks, “Goldman’s well-diversified business apart from its strong investment banking operations continues to ensure earnings stability. The company also seeks to capitalize on new growth opportunities through several strategic investments including its digital consumer lending platform. Further, venturing into the ETF market will act as a tailwind. We remain optimistic as Goldman received regulators’ approval for its 2016 capital plan demonstrating its financial strength. However, lower client activity levels amid market volatility and global growth concerns continue to weigh on fixed income revenue. Also, litigations and stringent financial reforms remain headwinds.”
A number of other equities research analysts have also commented on the company. Vetr raised Goldman Sachs Group from a “hold” rating to a “buy” rating and set a $153.68 price target on the stock in a research report on Tuesday, July 5th. Oppenheimer Holdings Inc. reaffirmed an “outperform” rating and set a $214.00 price target (down previously from $243.00) on shares of Goldman Sachs Group in a research report on Wednesday, July 6th. Berenberg Bank assumed coverage on Goldman Sachs Group in a research report on Wednesday, July 13th. They set a “hold” rating and a $140.00 price target on the stock. Citigroup Inc. reaffirmed a “buy” rating on shares of Goldman Sachs Group in a research report on Wednesday, June 29th. Finally, Nomura reaffirmed a “buy” rating and set a $197.00 price target (up previously from $195.00) on shares of Goldman Sachs Group in a research report on Tuesday, July 19th. Two investment analysts have rated the stock with a sell rating, eleven have issued a hold rating and eleven have issued a buy rating to the stock. Goldman Sachs Group currently has an average rating of “Hold” and a consensus price target of $179.79.
Shares of Goldman Sachs Group (NYSE:GS) opened at 167.03 on Tuesday. The company has a market cap of $71.22 billion, a PE ratio of 15.83 and a beta of 1.68. The company has a 50 day moving average price of $166.10 and a 200 day moving average price of $158.40. Goldman Sachs Group has a 52 week low of $138.20 and a 52 week high of $199.90.
Goldman Sachs Group (NYSE:GS) last issued its earnings results on Tuesday, July 19th. The investment management company reported $3.72 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $3.00 by $0.72. Goldman Sachs Group had a return on equity of 8.83% and a net margin of 18.12%. The firm had revenue of $7.93 billion for the quarter, compared to analysts’ expectations of $7.58 billion. During the same quarter last year, the business earned $1.98 earnings per share. On average, equities analysts expect that Goldman Sachs Group will post $14.24 earnings per share for the current year.
The business also recently disclosed a quarterly dividend, which will be paid on Thursday, September 29th. Shareholders of record on Thursday, September 1st will be issued a $0.65 dividend. The ex-dividend date of this dividend is Tuesday, August 30th. This represents a $2.60 annualized dividend and a yield of 1.56%. Goldman Sachs Group’s dividend payout ratio is presently 24.60%.
In other Goldman Sachs Group news, insider Sarah G. Smith sold 2,664 shares of Goldman Sachs Group stock in a transaction on Wednesday, August 31st. The stock was sold at an average price of $170.00, for a total value of $452,880.00. Following the completion of the transaction, the insider now directly owns 13,075 shares of the company’s stock, valued at approximately $2,222,750. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, EVP Edith W. Cooper sold 14,000 shares of Goldman Sachs Group stock in a transaction on Friday, August 26th. The shares were sold at an average price of $166.11, for a total value of $2,325,540.00. Following the completion of the transaction, the executive vice president now directly owns 33,634 shares of the company’s stock, valued at $5,586,943.74. The disclosure for this sale can be found here. 2.61% of the stock is owned by company insiders.
Institutional investors have recently made changes to their positions in the stock. Evercore Wealth Management LLC boosted its position in shares of Goldman Sachs Group by 10.7% in the second quarter. Evercore Wealth Management LLC now owns 2,180 shares of the investment management company’s stock valued at $324,000 after buying an additional 210 shares in the last quarter. Macquarie Group Ltd. boosted its position in shares of Goldman Sachs Group by 26.3% in the second quarter. Macquarie Group Ltd. now owns 112,955 shares of the investment management company’s stock valued at $16,783,000 after buying an additional 23,529 shares in the last quarter. Carnick & Kubik Group LLC bought a new position in shares of Goldman Sachs Group during the second quarter valued at $254,000. Kentucky Retirement Systems Insurance Trust Fund bought a new position in shares of Goldman Sachs Group during the second quarter valued at $2,318,000. Finally, Kentucky Retirement Systems bought a new position in shares of Goldman Sachs Group during the second quarter valued at $4,881,000. 70.77% of the stock is owned by hedge funds and other institutional investors.
Goldman Sachs Group Company Profile
The Goldman Sachs Group, Inc is a bank holding company and a financial holding company. The Company operates through four segments: Investment Banking, Institutional Client Services, Investing & Lending, and Investment Management. The Company’s Investment Banking segment provides financial advisory services, which include advisory assignments with respect to mergers and acquisitions, divestitures, corporate defense activities, restructurings, spin-offs and risk management.
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