Goldman Sachs Group Inc. (NYSE:GS) stock rose in premarket trading Tuesday after the investment bank reported second-quarter fiscal 2026 results that topped Wall Street estimates on stronger investment banking and trading revenue.
The firm reported earnings of $20.98 per share, well above the analyst consensus estimate of $14.40. Net revenue increased 39% year over year to $20.34 billion, beating the consensus estimate of $16.13 billion, driven by strength in its Global Banking & Markets business.
Net interest income rose to $3.95 billion from $3.10 billion a year earlier.
Operating expenses increased 26% from a year earlier to $11.67 billion, reflecting higher transaction-related costs and increased compensation and benefits. Provision for credit losses fell to $102 million from $384 million a year earlier.
Goldman reported a first-half efficiency ratio of 58.8%, compared with 62.0% in the same period of 2025. Its standardized Common Equity Tier 1 (CET1) capital ratio was 12.9%, while the advanced CET1 ratio was 13.7%. Assets under supervision reached a record $4.04 trillion.
Chief Executive David Solomon said the firm’s record quarterly results reflected the strength of its global platform, client relationships and integrated business model. He said momentum improved across businesses as clients increasingly turned to Goldman Sachs for strategic transactions. Solomon added that the firm remains focused on expanding its Global Banking & Markets and Asset & Wealth Management franchises, supported by strong business pipelines.
He said, “Our record performance this quarter reflects the strength of our global franchise, the depth of our relationships, and our ability to harness the power of One Goldman Sachs. Momentum has accelerated throughout our businesses.”
“Clients are turning to us to lead their most strategic and consequential transactions, which are often the genesis of activity across the franchise. We are relentlessly driving our long-term growth strategy across Global Banking & Markets and Asset & Wealth Management, and given what we see in our pipelines, we expect this flywheel of activity to continue.”
Segment Performance
Global Banking & Markets revenue climbed 53% year over year to $15.52 billion, helped by a 55% increase in investment banking fees.
Equities revenue jumped 72% to $7.42 billion, while fixed income, currencies and commodities revenue increased 32% to $4.59 billion. The gains were driven by stronger results in interest rate products, commodities, mortgages and currencies.
Asset & Wealth Management revenue rose 20% to $4.60 billion, supported by higher management fees and stronger investment-related revenue.
Platform Solutions revenue fell 64% to $221 million, primarily due to markdowns on the Apple Card loan portfolio, which was classified as held for sale in the fourth quarter of 2025.
Dividend Increased
Goldman Sachs raised its quarterly dividend to $5.00 per share from $4.50 per share. The dividend will be paid Sept. 29 to shareholders of record on Sept. 1, 2026.
The firm returned $5.36 billion to shareholders during the quarter, including $4.00 billion through share repurchases and $1.36 billion in dividends.
Price Action
GS Price Action: Goldman Sachs Group shares were up 3.62% at $1083.75 during premarket trading on Tuesday. The stock is approaching its 52-week high of $1125.00, according to Benzinga Pro data.
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