Goldman Sachs shares rise
On Wednesday, Goldman Sachs reported successful second-quarter earnings as a result of its
reliance on trading and investment banking generating positive results despite the instability of the
market caused by the coronavirus pandemic.
The bank stated that it was able to generate $2.42 billion in profit, or $6.26 per share, going beyond
the $3.78 a share estimate of analysts surveyed by Refinitiv. This marked the New York-based bank’s
largest earnings outperformance in nearly a decade, which is remarkable.
Revenue of the bank – which is $13.3 billion – was more than $3.5 billion higher than the estimate,
boosted by solid results in its trading and investment banking divisions, which generated three-
quarters of the firm’s revenue in the period.
Goldman shares surged 1.5%, moderating earlier gains of 5.5%, following the management stating
that trading activity had been slower in recent weeks.
“While the economic outlook remains uncertain, I am confident that we will continue to be the firm
of choice for clients around the world,” CEO David Solomon stated in the release.