The new chief (and DJ) David Solomon, who started on the first of this month would likely be leading the conference call on Tuesday. Shares are down more than 8% since its last earnings announcement in July even as it exceeded market expectations in earnings and revenue. But legal and regulatory costs stucks out as sore thumbs for the financial mammoth as the market delivered its judgment.
As we move to the expected earnings, analysts are looking for about $5.4 a share in adjusted earnings – a jump of about 7.5% from last year. Revenue is expected to inch 0.4% higher to $8.36 billion.
Buoyed by retail banking, JPMorgan tames interest rate woes in Q3
Last quarter, Goldman Sachs saw fixed-income trading slide 40% pushing the overall trading revenue down 17%. Rival Morgan Stanley (MS), however, posted $3.2 billion in trading revenue, as against Goldman’s $3.1 billion making it look bad in comparision. There is still hope for Goldman this quarter, since competitor JP Morgan (JPM) has already hinted that trading was difficult in the third quarter. JPM shares slipped 1.5% on Friday after its third-quarter tax-charges-free fixed-income revenue shed 10%.
Goldman Sachs tops estimates; profit jumps 44%
ADVERTISEMENT