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GS Earnings: Goldman Sachs Reports Robust Results in Q3
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GS Earnings: Goldman Sachs Reports Robust Results in Q3

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Goldman Sachs reported robust results in the third quarter.

Shares of Goldman Sachs (GS) gained in trading after the bank reported robust results for the third quarter. The bank reported Q3 earnings of $8.40 per share, a decline of 2.5% year-over-year, which beat analysts’ consensus estimate of $6.89 per share.

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Goldman Sachs’ Q3 Revenues Growth Driven by Equity Trading

Furthermore, Goldman Sachs’ revenues increased by 7% year-over-year to $12.7 billion, above analysts’ expectations of $11.7 billion. This growth was driven by higher equity trading revenues that soared 18% year-over-year to $3.5 billion. The rise in equity trading revenues was due to strong performance in both derivatives and cash trading.

Meanwhile, investment banking revenue surged by 20% year-over-year to $1.87 billion and exceeded analysts’ estimate of $1.62 billion. This growth was fueled by robust debt and equity issuance.

Both equity trading and revenues generated from investment banking are a part of the bank’s global banking and markets business, which posted revenues of $8.5 billion in Q3 and comprised more than 64% of the bank’s total revenues.

Goldman Sachs Announces Quarterly Dividend

The bank’s Board of Directors declared a quarterly dividend of $3 per share to be paid on December 30 to common shareholders of record on December 2, 2024. Additionally, the bank bought back stock worth $1 billion in the third quarter.

Is GS Stock a Buy?

Analysts remain bullish about GS stock, with a Strong Buy consensus rating based on 12 Buys and four Holds. Over the past year, GS has increased by more than 60%, and the average GS price target of $532.14 implies an upside potential of 1.8% from current levels. These analyst ratings are likely to change following GS’ results today.

See more GS analyst ratings

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