Compared to Estimates, Goldman (GS) Q4 Earnings: A Look at Key Metrics

Zacks
01-15

Goldman Sachs (GS) reported $13.87 billion in revenue for the quarter ended December 2024, representing a year-over-year increase of 22.5%. EPS of $11.95 for the same period compares to $5.48 a year ago.

The reported revenue represents a surprise of +13.11% over the Zacks Consensus Estimate of $12.26 billion. With the consensus EPS estimate being $8.07, the EPS surprise was +48.08%.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Goldman performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Book Value Per Share: $336.77 versus the four-analyst average estimate of $335.89.
  • Assets Under Supervision (AUS) - Total: $3,137 billion versus the three-analyst average estimate of $3,145.32 billion.
  • Leverage ratio: 5.5% compared to the 6% average estimate based on two analysts.
  • Advance Capital Rules - Common equity tier 1 capital ratio: 15.4% versus 16.1% estimated by two analysts on average.
  • Net Revenues- Platform Solutions- Consumer platforms: $597 million versus $620.86 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +18.5% change.
  • Net Revenues- Global Banking & Markets- Equities: $3.45 billion compared to the $2.98 billion average estimate based on five analysts. The reported number represents a change of +32.4% year over year.
  • Net Revenues- Global Banking & Markets- Other: $235 million versus $59.53 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +285.3% change.
  • Net Revenues- Asset & Wealth Management- Private banking and lending: $736 million versus the five-analyst average estimate of $751.03 million. The reported number represents a year-over-year change of +11.4%.
  • Net Revenues- Asset & Wealth Management- Equity investments: $729 million versus $304 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a -13% change.
  • Net Revenues- Platform Solutions- Transaction banking and other: $72 million compared to the $59.83 million average estimate based on five analysts. The reported number represents a change of -1.4% year over year.
  • Net Revenues- Global Banking & Markets- FICC: $2.74 billion versus $2.43 billion estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +34.7% change.
  • Net Revenues- Asset & Wealth Management- Debt investments: $264 million versus $249.60 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a -31.3% change.
View all Key Company Metrics for Goldman here>>>

Shares of Goldman have returned -0.6% over the past month versus the Zacks S&P 500 composite's -3.3% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.

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