Goldman Sachs CEO Sees 'Markedly Different Operating Environment' Entering Q2, Announces $40 Billion Stock Buyback
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 14 2025
0mins
Should l Buy GS?
Source: Benzinga
Goldman Sachs Q1 Performance: Goldman Sachs reported a revenue of $15.06 billion for the first quarter, exceeding expectations, with a notable increase in net interest income and GAAP EPS of $14.12. However, Investment Banking fees saw an 8% decline year-over-year.
Future Outlook and Stock Actions: The company announced a new share buyback program worth up to $40 billion and declared a dividend of $3.00 per share. CEO David Solomon expressed confidence in ongoing M&A activity despite changing market conditions.
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Analyst Views on GS
Wall Street analysts forecast GS stock price to rise
12 Analyst Rating
5 Buy
7 Hold
0 Sell
Moderate Buy
Current: 904.550
Low
604.00
Averages
951.45
High
1100
Current: 904.550
Low
604.00
Averages
951.45
High
1100
About GS
The Goldman Sachs Group, Inc. is a global financial institution that delivers a range of financial services to a large and diversified client base that includes corporations, financial institutions, governments and individuals. Its segments include Global Banking & Markets, Asset & Wealth Management and Platform Solutions. The Global Banking & Markets segment offers a range of services, including financing, advisory services, risk distribution, and hedging for its institutional and corporate clients. It facilitates client transactions and makes markets in fixed income, equity, currency and commodity products. The Asset & Wealth Management segment manages assets and offers investment products across all asset classes to a diverse set of clients. It also provides investing and wealth advisory solutions. The Platform Solutions segment includes consumer platforms, such as partnerships offering credit cards and point-of-sale financing, and transaction banking and other platform businesses.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Emerging Market Potential: Emerging market stocks are expected to return 12.8% annually, primarily supported by robust earnings growth in China and India, highlighting the significance and appeal of these markets in the global economy.
- Vanguard ETF Advantages: The Vanguard FTSE Europe ETF boasts an expense ratio of just 0.06%, significantly lower than the average 0.81% for similar funds, providing investors with a cost-effective avenue for European stock exposure, thereby enhancing its market competitiveness.
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- Widespread Impact: These resignations not only affect individual careers but also pose potential reputational risks and operational challenges for the companies involved, especially in a climate where public sensitivity to sexual crimes is increasing.
- Political Repercussions: The government of UK Prime Minister Keir Starmer is also affected, despite his lack of direct ties to Epstein, as this incident could undermine his political support and influence future policy decisions.
- Social Response: Epstein's case has sparked widespread public discourse on the relationship between power and sexual crimes, prompting greater scrutiny of the moral responsibilities and transparency of high-level individuals, which may lead to stricter regulatory measures.
See More
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- Optimistic Economic Outlook: Goldman Sachs CEO David Solomon expressed in a CNBC interview that the economic backdrop for 2026 is “quite good,” highlighting fiscal support and AI-driven capital investments as key drivers for growth, indicating a resurgence in business activity and investment willingness.
- IPO Market Revival: Solomon noted that IPO discussions are heating up, with U.S. IPO proceeds potentially reaching $160 billion in 2026, a significant increase from $44 billion in 2025, reflecting strong demand and confidence in large transactions.
- Strong Performance from Big Banks: Goldman Sachs' latest earnings report revealed an EPS of $14.01, surpassing expectations despite the impact of exiting the Apple Card business, demonstrating the banks' ability to manage credit risk and maintain margins effectively.
- Increased M&A Activity: Goldman Sachs led the global M&A market with advisory transactions totaling $1.48 trillion in 2025, earning $4.6 billion in fees, indicating a renewed interest in strategic deals among corporations, with expectations for more large transactions in the near future.
See More
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- Fed Chair Selection Context: Warsh was initially Trump's choice, but ultimately Jerome Powell was appointed due to Treasury Secretary Steven Mnuchin's persuasion, a decision that may have long-term implications for future monetary policy.
- Economic Burden Analysis: A report from the New York Fed revealed that 94% of the economic burden fell on U.S. importers, as the average tariff rate rose from 2.6% to 13%, yet foreign prices did not significantly drop, indicating the counterproductive effects of tariff policies.
- Job Data Revision: According to the Bureau of Labor Statistics, the U.S. economy added 130,000 jobs in January, but a major revision saw the initial report of 467,000 jobs gained adjusted to a loss of 533,000, highlighting the fragility of economic recovery.
See More
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- Goldman Sachs Executives Divest: Goldman Sachs CFO Denis Coleman divested 11,623 shares in a price range of $933.38 to $945.4, generating proceeds of $10.94 million, and after the sale, he held 33,574 shares, reflecting a cautious stance amid market volatility.
- Delta Air Lines Executive Sale: Delta's EVP of Global Sales & Distribution, Steven Sears, sold 38,600 shares at an average price of $75.05, totaling $2.90 million, reducing his holdings to 104,404 shares, which may impact the company's future sales strategies.
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