Goldman Sachs is trading at $179.81. The share price is up 7.5% since the bank reported its second-quarter results in July, when revenue came in a $9.12 billion and EPS was 410 cents. Analysts’ estimates were $7.97 billion and 308 cents respectively. Revenue from fixed income, currency and commodity trading was $2.2 billion. Fixed income trading revenue dropped by 9% while the equity division dropped by 11% — this is a common theme among Wall Street banks.
Even though tighter regulation and a decline in market volatility impacted trading activity, 2014 has been a good year for raising capital, underwriting of debt and equity which rose by 14%. Investment banking fees and income from asset management increased by 15% and 8% respectively.
Equity analysts are bullish on Goldman Sachs. Out of the 34 recommendations, ten are buys, 19 are holds and five are sells. Goldman’s stock is receiving support at $173.67 but a turnaround in trading revenue could drive the share price to $186.