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- 1 GS Stock is consolidating in a narrow range around the EMA.
- 2 Goldman Sachs might end its partnership with Apple Inc.
The Goldman Sachs Group Inc. might walk away from its partnership with Apple Inc. (NASDAQ: AAPL). In the meantime, GS Stock gained 1.26%. The collaboration had helped the iPhone maker tread the financial seas through Apple’s credit card. However, the bank is trying to negotiate with American Express Co. (NYSE: AXP) to take over the services that were previously offered by Goldman Sachs in the partnership.
The Goldman Sachs Group Inc. (GS Stock) – Financial Analysis
The report about the soon-to-be-closed partnership came from The Wall Street Journal, and it states that Apple has been aware of the situation. The iPhone manufacturer entered the market of financial offerings with Goldman Sachs in February 2019 to generate more revenue from the service.
After the Federal Reserves’ annual health check results were announced in June 2023, Goldman Sachs announced its capital plans for a 10% dividend raise from July 1, 2023. However, the hike will be confirmed in the Board of Directors Q3 2023 meeting. Bank of America Corp. (NASDAQ: B.A.C.BAC) also passed the Fed’s health check.
Multiple institutional investors and hedge funds have altered their positions in Goldman Sachs (NYSE: GS). Princeton Global Asset Management LLC raised its position by 26.5% in Q1 2023 and is now worth $719k. Candriam Luxembourg SCA grew its position by 1,505.1%, worth $13.6 million. Baird Financial Group Inc. boosted holdings by 18.5%, and the holdings are currently valued at $39.15 billion.
At press time, GS Stock is trading at $326.61 after gaining 1.26%. Previous close and open were at $322.54 and $322.41, respectively. The 52-week range is from $277.84 to $389.58. The currency price is close to the upper end of the spectrum. The trailing twelve-month (ttm) price-to-earnings (P/E) ratio is 11.63, indicating undervalue, while earnings per share (EPS) comes at $28.09.
With an average volume of 2.60 million shares, the market cap for Goldman Sachs stands at $108.581 billion. Analysts placed a price target at $387.95 with an 18.9% upside and estimated a 2.56 rating for a moderate buy. GS share price rallied 3.64% in a week, 2.63% in a month, and dropped 5.47% YTD.
The last earnings were reported on April 18, 2023, where the reported revenue of $12.224 billion failed to beat the estimated value of $12.762 billion by 4.21%. This caused the GS share price to drop by nearly 9% in subsequent earnings sessions. The next earnings are expected on July 18, 2023, with an estimated revenue of $11.445 billion.
As per March 2023 data, revenue swelled by 0.19% to $12.40 billion, while the revenue (ttm) comes up to $44.67 billion. The revenue per share (ttm) is reported to be $127.29, and the quarterly revenue growth year-over-year (YoY) grew by 0.20%. Operating expenses gained 9.05% to $6.46 billion, and operating margin (ttm) jumped by 29.88%.
The Goldman Sachs Group Inc. (GS Stock) – Candle Exploration
Since late March 2023, the GS share price has been oscillating in a range, with the upper limit at R1 $346.82. If the price breaks R1, it will consolidate in a new range below R2. However, EMA indicates sideways movement but ascending value of the RSI at 51.01 creates hope for an upcoming rally.
If the subsequent earnings are subpar, the price might drop below the demand zone. As long as the price consolidates between R1 and the demand zone, it is hard to predict any future trajectory. A rally could be expected if the price action stabilizes above the EMA.
Disclaimer:
The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto assets and stocks comes with a risk of financial loss.
Nancy J. Allen is a crypto enthusiast, with a major in macroeconomics and minor in business statistics. She believes that cryptocurrencies inspire people to be their own banks, and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning. She frequently researches, and posts content on the top altcoins, their theoretical working principles and technical price predictions.
