Goldman Sachs Group Inc. (NYSE:GS) climbed to a new 52-week high on Wednesday after posting record second-quarter results, but Citizens kept its Market Perform rating, arguing that the stock’s strong run already reflects much of the improving earnings outlook.
Strong Quarterly Results Beat Expectations
Citizens analysts Devin Ryan and Noah Katz said Goldman posted results well above expectations, driven by strength across investment banking, equities, fixed income trading and asset management.
The brokerage noted that second-quarter earnings per share of $20.98 exceeded its $15 estimate by 40% and topped the Street consensus of $14.48 by 45%. Revenue climbed 39% year over year to $20.34 billion, about $4 billion above consensus. Goldman also generated a 23.5% return on equity during the quarter.
Read Next
