Goldman Sachs on Wednesday posted fourth-quarter results that topped estimates on stronger than expected trading revenue.
Here’s what the company reported:
- Earnings: $11.95 a share vs. $8.22 LSEG estimate
- Revenue: $13.87 billion vs. $12.39 billion expected
Goldman Sachs is riding a wave of enthusiasm over a rebound in Wall Street deals.
The bank’s shares jumped nearly 50% last year, topping its big bank rivals, as the Federal Reserve’s easing cycle and the November election of Donald Trump boosted expectations for mergers and stock deals.
Goldman’s fourth-quarter results will give investors a preview of what to expect this year, as investment banking and trading fees are both expected to rise by double digit percentages. Investment banking revenue for the industry jumped 29% in the quarter, per Dealogic figures, fueled by rising advisory and equity capital markets activity.
Furthermore, the buoyant stock market late last year should boost results within the firm’s asset and wealth management division, which CEO David Solomonhas called the growth engine of …