Is Goldman Sachs a Buy?
One of the world's premier investment banks just had one of its premier quarters, and it's trading below tangible book value. That should tell you all you need to know when considering whether or not to buy Goldman Sachs (NYSE: GS). The bank has all the right ingredients to thrive during the rest of the coronavirus pandemic, and is positioning itself well for the future. Let's take a look.
The coronavirus pandemic has battered the banking industry this year, but investment banks have been able to find success in their underwriting and trading businesses. Goldman Sachs reported a profit of nearly $3.5 billion in the third quarter, up nearly double from the third quarter of 2019. The quarter was driven by strong year-over-year gains in its trading business, which includes its fixed-income and equities products, as well as in its asset management division. Overall, all four of Goldman's business divisions were up year over year, with the investment bank benefiting from several high-profile initial public offerings, and Goldman's consumer business making gains in wealth management and credit card lending.
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Source Fool.com
