Physical Address
304 North Cardinal St.
Dorchester Center, MA 02124
David Solomon, chairman and CEO of Goldman Sachs, speaking on CNBC’s Squawk Box at the World Economic Forum’s annual meeting in Davos, Switzerland, on January 17, 2024.
Adam Galitsky | CNBC
Goldman Sachs reported fourth-quarter earnings before the open on Wednesday.
Here’s what the company reported compared to what Wall Street analysts polled by LSEG expected:
- Earnings: $11.95 per share vs. $8.22 expected
- Income: $13.87 billion versus the expected $12.39 billion
Goldman Sachs is riding a wave of enthusiasm for the resumption of trading on Wall Street.
The bank’s shares have jumped nearly 50% in the past year, outperforming big-bank rivals as the Federal Reserve’s easing cycle and Donald Trump’s November election raised expectations for mergers and acquisitions.
Goldman’s fourth-quarter results will give investors a preview of what to expect this year, as investment banking and trading fees are expected to grow by double-digit percentages. Investment banking revenue rose 29% in the quarter, according to Dealogic, driven by growth in advisory and equity markets activity.
In addition, the stock market rally late last year should boost results at the firm’s asset and wealth management division, whose CEO David Solomon called the engine of the company’s growth.
For Solomon, the situation could not have been more different than it had been a year earlier, after a strategic reversal from the ill-fated raid in consumer finance. At the time, Salomon was under pressure to appease internal stakeholders, including Goldman partners, as consumer finance losses mounted and Wall Street deals stalled due to rising rates and increased regulatory scrutiny.
JPMorgan Chase also reports results on Wednesday, as well as Wells Fargo and Citigroupfor now Bank of America and Morgan Stanley are due to report on Thursday.
This story is evolving. Check for updates.
