Goldman Sachs Chairman and CEO David Solomon speaks on CNBC’s Squawk Box at the World Economic Forum’s annual meeting in Davos, Switzerland, January 17, 2024.
Adam Galici | CNBC
Goldman Sachs is expected to report first-quarter results before the opening bell on Monday.
Here’s what Wall Street expects:
- Earnings: $8.56 per share, according to LSEG
- Revenue: $12.92 billion, according to LSEG
- Trading income: $3.64 billion in fixed income and $2.95 billion in equities, per StreetAccount
- Investing banking revenue: $1.77 billion, per StreetAccount
Goldman Sachs CEO David Solomon has had his share of weaknesses over the past year, but hopes are growing for a turnaround.
Dormant capital markets and missteps related to Solomon’s ill-fated foray into retail banking should lead to better results this year.
Rivals JPMorgan Chase And Citigroup reported better-than-expected trading results and a recovery in investment banking fees in the first quarter; Investors will be disappointed if Goldman doesn’t show similar profits.
Unlike more diversified competitors, Goldman derives the majority of its revenue from Wall Street activities. This can lead to inflated returns during boom times and underperformance during times when markets are not cooperating.
After moving away from retail banking, Goldman’s new growth focus was on its wealth management division. The company could benefit from buoyant markets at the start of the year, although it has also taken write-downs related to commercial real estate in the past.
Solomon may also raise questions about recent examples of executive exodus, including his global treasurer Philip Berlinski and Beth Hammack, co-head of the bank’s global financing group.
On Friday, JPMorgan, Citigroup and Wells Fargo Each reported quarterly results that beat estimates.
This story is developing. Please check back for updates.
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2024-04-15 04:01:01
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