JMP reiterates Market Perform rating on Goldman Sachs stock

Published 17/07/2025, 09:56
JMP reiterates Market Perform rating on Goldman Sachs stock

Investing.com - JMP Securities has reiterated its Market Perform rating on Goldman Sachs (NYSE:GS) following the company’s recent earnings report. The stock is currently trading near its 52-week high of $726, having delivered a remarkable 44% return over the past year.

The firm noted that while Goldman delivered "a very strong outcome," the market reaction remained "somewhat muted," likely because expectations had already been high ahead of the results. According to InvestingPro data, Goldman Sachs maintains a FAIR financial health score and has consistently raised its dividend for 13 consecutive years.

JMP had previously downgraded Goldman Sachs from Market Outperform to Market Perform prior to earnings, citing valuation concerns after the stock appreciated approximately 44% since their last review in April.

The research firm pointed out that Goldman Sachs shares are now trading at roughly 12.9 times their 2026 earnings estimate and about 2.2 times current tangible book value, compared to 9.9 times and 1.5 times respectively in mid-April.

Despite remaining "bullish on the company’s ability to take more market share" and potential benefits from "a softening regulatory environment," JMP believes these positive factors are already reflected in the current valuation, leading to their conclusion that shares are "fairly valued." This assessment aligns with InvestingPro’s Fair Value analysis, which suggests the stock is currently trading near its intrinsic value.

In other recent news, Via Transportation Inc. has announced plans to revive its initial public offering (IPO) after previously withdrawing in 2021. The company has not yet specified the number of shares or the price range for the offering. Via’s valuation was pegged at $3.5 billion following a funding round led by 83North. Meanwhile, Morgan Stanley (NYSE:MS), Goldman Sachs, and Wells Fargo (NYSE:WFC) have agreed to pay $120 million to settle a lawsuit related to the collapse of Archegos Capital Management, with the settlement still requiring judicial approval. The banks denied any wrongdoing in the case. In analyst news, Goldman Sachs has been downgraded by Citizens JMP from Market Outperform to Market Perform, citing the stock’s current valuation. Additionally, HSBC has downgraded Goldman Sachs from Hold to Reduce, despite raising the price target, due to limited perceived upside. Finally, Quicken Inc., owned by Aquiline Capital Partners (WA:CPAP), is exploring a potential sale valued at over $1.5 billion, with Goldman Sachs assisting in finding potential buyers.

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