Goldman Sachs Reports 150% Year-Over-Year Increase in Profits, Boosted by Wall Street's Resurgence in Dealmaking and Underwriting

New York, New York, USA United States of America
CEO David Solomon expressed optimism about the continued recovery in capital markets and M&A activity. Goldman Sachs stock price has risen by more than 2% since the earnings report and is up 28% year to date.
Goldman Sachs faces challenges from regulators regarding its results from the Federal Reserve's latest annual stress test.
Goldman Sachs' fixed income, currencies and commodities trading division reported revenues up 17%. Equities trading division net revenues rose by 7%.
Goldman Sachs reported a 150% year-over-year increase in profits for Q2 2024, with net earnings of $3.04 billion and EPS of $8.62.
Investment banking fees rose by 21%, driven by a resurgence in dealmaking and underwriting activity on Wall Street.
Goldman Sachs Reports 150% Year-Over-Year Increase in Profits, Boosted by Wall Street's Resurgence in Dealmaking and Underwriting

Goldman Sachs, a leading global investment bank based in New York, reported a significant increase in profits for the second quarter of 2024. The bank's net earnings jumped by 150% year over year to $3.04 billion, or $8.62 per share.

The surge in profits was driven by a resurgence of dealmaking and underwriting activity on Wall Street, which had been sluggish in the previous years. Investment banking fees rose by 21%, with debt underwriting fees seeing a particularly large increase due to the high demand for refinancing from companies facing higher interest rates.

Goldman Sachs' fixed income, currencies and commodities trading division also reported revenues up 17% from the previous year. The equities trading division saw net revenues rise by 7%, while the asset-management division posted a 26% increase in revenues due to higher fee income and the value of Goldman Sachs' own investments.

CEO David Solomon, who faced challenges last year due to a dealmaking slump, costly exit from consumer banking, and high-profile departures from the firm, expressed optimism about the continued recovery in capital markets and M&A activity.

Goldman Sachs' stock price rose by more than 2% on Monday and has climbed 28% year to date. The bank is not alone in experiencing a rebound; JPMorgan Chase, Wells Fargo, and Citigroup have also reported strong earnings from their investment banking divisions.

Despite the positive news, Goldman Sachs is facing challenges from regulators regarding its results from the Federal Reserve's latest annual stress test. The firm plans to engage with regulators to better understand their determinations.


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Confidence

100%

No Doubts Found At Time Of Publication

Sources

99%

The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
(Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

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Goldman Sachs profits more than double in second quarter as dealmaking comes back on Wall Street

ABC NEWS SITE NAMES Name: ABC News Site Names URL: https://abcnews.go.com/Politics/us-officially-blames-iran_106834435 ABC News Tuesday, 16 July 2024 00:22
  • Unique Points
    • Goldman Sachs posted a 150% increase in second quarter profits
    • Net earnings were $3.04 billion, or $8.62 per share
    • Investment banking fees rose by 21% due to an increase in debt underwriting fees
    • There has been a surge in leveraged financing packages leading to increased debt underwriting fees
  • Accuracy
    No Contradictions at Time Of Publication
  • Deception (100%)
    None Found At Time Of Publication
  • Fallacies (95%)
    The article contains an appeal to authority when it states 'Many companies are having to refinance their debts to deal with higher interest rates.' This statement implies that the author has expert knowledge on the financial situations of many companies and is using that knowledge as evidence. However, there is no explicit statement of the author's expertise or qualifications in this area. Additionally, there are some instances of inflammatory rhetoric when the article states 'a resurgence of dealmaking and activity on Wall Street this year in a healthy economy.' This language is used to create a positive impression of the current state of Wall Street and investment banking, but it does not provide any new or significant information.
    • Many companies are having to refinance their debts to deal with higher interest rates.
    • a resurgence of dealmaking and activity on Wall Street this year in a healthy economy.
  • Bias (100%)
    None Found At Time Of Publication
  • Site Conflicts Of Interest (100%)
    None Found At Time Of Publication
  • Author Conflicts Of Interest (100%)
    None Found At Time Of Publication

99%

The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
(Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

Goldman profits surge 150% from year ago on Wall Street rebound

Yahoo Finance David Hollerith Tuesday, 16 July 2024 00:23
  • Unique Points
    • Goldman Sachs reported a 150% increase in profits year over year, with net income at $3.04 billion and total revenue at $12.73 billion.
    • CEO David Solomon experienced a challenging year ago due to dealmaking slump, costly exit from consumer banking, and high-profile departures.
    • Goldman's stock rose more than 2% on Monday and has climbed 28% year to date.
    • Fixed-income trading revenue rose by 17%, while asset and wealth management revenues increased by 27%.
  • Accuracy
    No Contradictions at Time Of Publication
  • Deception (95%)
    The article contains selective reporting as it only reports the increase in profits and revenue without mentioning the decrease in investment banking fees compared to the first quarter. The author also makes editorializing statements such as 'the latest signal that Wall Street is warming up' and 'Goldman is even more reliant on Wall Street for its performance'. These statements are not factual and are an attempt to manipulate the reader's emotions.
    • Goldman is even more reliant on Wall Street for its performance
    • The latest signal that Wall Street is warming up
  • Fallacies (100%)
    None Found At Time Of Publication
  • Bias (100%)
    None Found At Time Of Publication
  • Site Conflicts Of Interest (100%)
    None Found At Time Of Publication
  • Author Conflicts Of Interest (100%)
    None Found At Time Of Publication

98%

The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
(Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

Goldman Sachs Reports 2024 Second Quarter Earnings Per Common Share of $8.62 and Annualized Return on Common Equity of 10.9%

www.goldmansachs.com Tuesday, 16 July 2024 00:24
  • Unique Points
    • Goldman Sachs will hold a conference call to discuss financial results, outlook, and related matters at 9:30 am (ET) on July 15, 2024.
  • Accuracy
    No Contradictions at Time Of Publication
  • Deception (100%)
    None Found At Time Of Publication
  • Fallacies (100%)
    None Found At Time Of Publication
  • Bias (100%)
    None Found At Time Of Publication
  • Site Conflicts Of Interest (100%)
    None Found At Time Of Publication
  • Author Conflicts Of Interest (0%)
    None Found At Time Of Publication