|Bid||174.94 x 30000|
|Ask||175.44 x 30000|
|Day's Range||175.00 - 175.44|
|52 Week Range||123.82 - 225.00|
|Beta (5Y Monthly)||1.47|
|PE Ratio (TTM)||9.47|
|Forward Dividend & Yield||4.46 (2.51%)|
|Ex-Dividend Date||May 29, 2020|
|1y Target Est||N/A|
Goldman Sachs has a new title it may have to live with: America’s riskiest big bank, according to the Federal Reserve. This week the Fed slapped Goldman with a total capital requirement higher than any other US bank, thanks to a large “stress capital buffer” the regulator wants all banks to maintain to see them through the severest of shocks. The resulting requirement for tier 1 common equity — largely generated from retained profits and share sales — is at least 13.7 per cent of Goldman’s risk-weighted assets.
We at Insider Monkey have gone over 821 13F filings that hedge funds and prominent investors are required to file by the SEC The 13F filings show the funds' and investors' portfolio positions as of March 31st, near the height of the coronavirus market crash. We are almost done with the second quarter. Investors decided […]
Goldman Sachs came out with a note saying that making mask wearing mandatory could prevent a 5% hit to GDP. Yahoo Finance’s The Final Round panel discusses how the private sector has been left regulating mask wearing in the United States.
Yahoo Finance’s Adam Shapiro breaks down Thursday’s top trending headlines.
Wall Street was set to open higher on Thursday as data showed the U.S. economy added jobs at a record pace in June, the latest signal of a rebound in business activity following the easing of coronavirus-led lockdowns. Nonfarm payrolls rose by 4.8 million jobs in June, the Labor Department's closely watched monthly employment data showed, the most since the government began keeping records in 1939, although a recent surge in COVID-19 cases has threatened the fledgling recovery. Optimism about a post-pandemic rebound in business activity, aggressive U.S. stimulus and hopes of a COVID-19 vaccine have fueled a Wall Street rally since April, with the Nasdaq notching up its sixth record closing high since early June on Wednesday.
(Bloomberg) -- Lemonade Inc., the online home insurance provider backed by SoftBank Group Corp., is set to raise $319 million in its U.S. initial public offering.The company will sell 11 million shares at $29 apiece, Lemonade said in a filing, confirming an earlier Bloomberg News report. It was marketing 11 million shares at $26 to $28 each after boosting the range from $23 to $26, according to filings with the U.S. Securities and Exchange Commission.At $29, Lemonade would have a market value of $1.6 billion, based on the number of shares outstanding listed on its IPO filings.SoftBank led a $300 million funding round in Lemonade last year, valuing the company at $2.1 billion at the time, Bloomberg News previously reported. SoftBank will own a 21.8% stake in the company upon the IPO, the filing shows. Sequoia Capital Israel and General Catalyst are also among backers.Lemonade has yet to turn profitable since its inception in 2015, it said in its prospectus. It reported a $36.5 million net loss in the three months ended March compared to a net loss of $21.6 million during the same period last year. Its sales have more than doubled in that period.The company allows customers to buy insurance policies on a mobile app after answering several questions. It also pledges to donate the leftover funds, after expenses, to a charity in order to discourage fraudulent claims.While the company is headquartered in New York, it has roots in Israel and it has 123 full-time employees there, its filing showed.Goldman Sachs Group Inc., Morgan Stanley, Allen & Co. and Barclays Plc are leading the offering. Citadel Securities is the designated market maker for the listing.Lemonade will list on the New York Stock Exchange Thursday under the symbol LMND.(Updates with details from statement in second paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Harit Talwar, Global Head of Goldman Sachs Consumer Business, joins Yahoo Finance’s Julia La Roche to discuss the shift to digital banking and the trends he is seeing at Marcus by Goldman Sachs.
Dun & Bradstreet, the business analytics firm that went private a year ago, is selling 65.75 million shares at $19 to $21 each, according to a June 26 filing.
The case related to the multibillion-dollar 1Malaysia Development Bhd (1MDB) scandal which involved Goldman (GS) might be resolved soon post-decision of pleading guilty by the bank.
(Bloomberg Opinion) -- A few weeks ago, the expectation was that the onset of the third quarter would mark the close of a highly damaging and uncertain second quarter for the U.S. economy and, importantly, herald a sharp and durable reversal. Instead, with health concerns forcing a growing number of states to either stop or reverse their reopenings, and with some businesses and households withdrawing from active economic re-engagements, a cloud is now forming over the third quarter, threatening the depth and breadth of the economic recovery.With an initial phase of seemingly healthy reopenings, and with government relief measures in full force, high-frequency indicators of economic well-being (household confidence, new jobs and retail sales) started improving in May or deteriorated at a slower rate (jobless claims). Such absolute and relative improvements were countering what was shaping up to be a brutal set of economic data for the second quarter as a whole, including the largest contraction in gross domestic product on record. But with a continuing uptick in economic data that repeatedly beat consensus expectations, the thinking was the hit to this year’s GDP could be contained to 5% to 8%, with the prospects of recovering the entire loss of output in 2021.Since then, however, confidence in improving high-frequency data has been dented by indications that the “R-naught” of Covid-19 — the average number of people who catch the virus from a single infected person — has increased above 1 once again in a majority of states. Even though hospitalizations and deaths have not surged at the same rate as the sharp increase in positive cases because of the much lower average age of the newly infected, there is little confidence that this will continue given the material risk of younger people, especially those who are asymptomatic, turning into super-spreaders — a concern accentuated by evidence that this group has shown little inclination to modify its behavior yet. Policy makers are reacting, including either halting or reversing economic reopenings in about 40 states, according to Goldman Sachs, but many health experts view the cumulative response by local, state and federal officials as too incremental and overly hesitant.Consistent with these developments, the highest-frequency indicators of household economic activity, such as mobility and restaurant bookings, have already flattened or started to head back down in a growing number of states. Some businesses, such as Apple, have decided to reclose stores in certain places. And this process has been accelerated in recent days with some states and cities closing bars and barring in-restaurant dining.Over the next few weeks, this will lead economists and Wall Street analysts to revise down growth projections for the third quarter and to push out the process of recovery. Both will be less consistent with a sharp and lasting V-shaped recovery and more likely will align with my previous characterization of a square-root-shaped recovery. And with certain relief measures scheduled to sunset soon, including the Paycheck Protection Program and the supplementary unemployment benefits, the U.S. economy would be exposed to a bigger risk of short-term problems becoming structurally embedded. This would include a significantly larger number of corporate bankruptcies and greater risk of long-term unemployment in which jobless workers run a high risk of becoming unemployable.Absent any policy and behavioral changes, the overall impact of these measures would most likely be an overall GDP contraction for 2020 in the 8% to 12% range, assuming no second round of infections in improving states such as New York. Moreover, the recovery of lost output would not be completed in 2021. And the uncertainty surrounding these predictions would notably increase, with the balance of risk tilted to the downside.Such a diminished outlook would worsen the already-concerning inequality trifecta of income, wealth and opportunity at a time of greater recognition and heightened sensitivity to long-standing social injustices. It would also undermine the type of synchronized global recovery in which external demand reinforces domestic economic improvements. It would increase the likelihood of more protectionism and faster deglobalization. And it would risk pulling down longer-term economic growth and prosperity.The answer is not to roll back health measures aimed at regaining control of what is a worrisome acceleration of infections. Rather, it is to ensure changes in behavior and policy that allow for healthier and sustainable economic reopenings during this tricky period of living with Covid-19.A necessary component of the answer is to combine policy relief measures with greater emphasis on steps to reduce the risk of infection and deal better with the ill, as well as to counter more quickly a post-virus world of low productivity and high household insecurity. But it is imperative the private sector joins in — whether through individuals and companies better adopting health safeguards or by working harder to protect the most vulnerable segments of the population.This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Mohamed A. El-Erian is a Bloomberg Opinion columnist. He is the chief economic adviser at Allianz SE, the parent company of Pimco, where he served as CEO and co-CIO. He is president-elect of Queens' College, Cambridge, senior adviser at Gramercy and professor of practice at Wharton. His books include "The Only Game in Town" and "When Markets Collide." For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
UBS, long the dominant bank in Australian equities markets, has closed this half-year outside the top three for the first time in 15 years, even as a rush of coronavirus-related share sales have generated bumper investment banking fees. Its slide to fourth place in the equity capital markets (ECM) league table has been attributed by rivals to the departure of a number of senior bankers from the Australian operations, which have opened the way for rivals to target mandates traditionally dominated by UBS. Such is the Swiss bank's dominance in Australia, it has only finished the year off the ECM top spot once in the past 15 years.
With the Federal Reserve’s stress tests in the rearview mirror, Wall Street has slightly more guidance on the path of bank dividends later this year. But uncertainty remains.
(Bloomberg) -- Goldman Sachs Group Inc. is in the final stages of resolving its biggest legal threat in a decade after tussling with the government on one critical issue: a potential guilty plea for the first time in Goldman’s history.To avert such a penalty over its work for a Malaysian sovereign fund, Goldman has appealed to the Justice Department’s highest ranks. Attorney General William Barr began overseeing the case after obtaining a waiver because his former law firm represents Goldman. The department’s No. 2 official has also been directly involved.Now, a deal may be near. Prosecutors were emboldened to press Goldman for a guilty plea after a high-ranking Goldman banker pleaded guilty in 2018 and described a secretive corporate culture that sidelined compliance staff, people familiar with the case said. Since then, Goldman has pushed back on that narrative and elevated its case to the nation’s top law enforcement officers.Goldman’s defense is led by Karen Seymour. She was brought in two years ago as general counsel with a mandate to end the years-long U.S. criminal investigation over the billions of dollars Goldman raised for the Malaysia fund, known as 1MDB. Much of that money was allegedly siphoned by people connected to the country’s former prime minister.If Goldman escapes without a guilty plea, it will be a big victory for the bank. If not, Seymour may still be able to soften the blow by bartering over what details are included -- and not included -- in a statement of facts outlining Goldman’s conduct in Malaysia.Jake Siewert, a Goldman Sachs spokesman, wouldn’t comment on the status of the negotiations. “We are trying to resolve this matter as expeditiously as possible,” he said.John Marzulli, a spokesman for the U.S. attorney’s office in Brooklyn, New York, that’s handling the case, declined to comment.Abacus DealSeymour, 59, knows from her experience representing Goldman as an outside lawyer that an all-out battle could backfire. The bank tried that approach a decade ago after the Securities and Exchange Commission accused it of fraudulently marketing a mortgage investment known as Abacus that was secretly meant to fail.Whereas banks typically respond to new investigations with deference and promises to cooperate, Goldman pushed back hard against the SEC action, vowing to defend itself and describing the SEC’s allegations as “completely unfounded in law and fact.” Over several months, the legal exposure and bad publicity lopped almost 25% from the firm’s market value.At the time, Seymour was a partner at Sullivan & Cromwell, Goldman’s outside law firm, and was dispatched to clean up the mess generated by Goldman’s fighting words. Ultimately, she negotiated a pact with the SEC that included a hefty $550 million fine but no admission of wrongdoing.In the 1MDB case, the bank is awaiting word from Justice Department leaders about whether they agree with their prosecutors in Brooklyn that any deal must include a guilty plea by a subsidiary in Asia, according to a person familiar with the matter. (Prosecutors’ insistence on an admission of guilt was reported earlier by the New York Times and the Wall Street Journal.) A decision would clear the way for a settlement, the person said.Once the Justice Department renders its decision about a guilty plea, a resolution could follow quickly, including a penalty as high as $2 billion.Darkest DaysThe sprawling investigation into 1MDB, known formally as 1Malaysia Development Bhd., is the biggest threat to Goldman Sachs since the darkest days of the 2008 financial crisis.In September of that year, following the collapse of Lehman Brothers and the sale of Merrill Lynch to Bank of America Corp., the Federal Reserve allowed Goldman and Morgan Stanley to convert themselves into bank holding companies, giving them access to the Fed’s discount window and allaying concerns about their viability. The Abacus case grew out of the mortgage meltdown at the center of the crisis.In Malaysia, Goldman helped the government raise $6.5 billion for the 1MDB fund, collecting an unusually high $600 million in fees from bond sales in 2012 and 2013, according to court filings in the case. Prosecutors allege that roughly $2.7 billion of that money was diverted to 1MDB officials and their associates.Prosecutors have received help from Tim Leissner, a former Goldman banker who led the fund-raising for 1MDB. He pleaded guilty to conspiracy to bribe foreign government officials and money laundering. Goldman says Leissner was a rogue actor who deceived his superiors at the bank. Prosecutors appear to have taken a different view, that Leissner was acting in his capacity as an agent of the bank.S.D.N.Y. VeteranSeymour is probably best known for her work as a federal prosecutor in winning the 2004 conviction of Martha Stewart, who made false statements to prosecutors conducting an investigation of her stock trading.A Texas native, Seymour served as a federal prosecutor in Manhattan the 1990s before moving to Sullivan & Cromwell. She returned to the office, known as the Southern District of New York, in 2002 to serve as head of its criminal division under then-U.S. Attorney James Comey.Friends and former colleagues say Seymour’s biggest asset in her current role is her history negotiating with the government on behalf of global banks including Goldman and BNP Paribas SA.“She is the picture of credibility and integrity,” said Michael Schachter of Willkie, Farr & Gallagher, who was Seymour’s co-prosecutor in the Martha Stewart case. “When you are trying to represent a financial institution in a government negotiation, nothing is more important than making sure the government is able to trust what they’re hearing, and nobody inspires trust in their word like Karen Seymour.”With Seymour fully engaged in the 1MDB settlement negotiations, Goldman’s chief executive officer, David Solomon, bolstered the firm’s oversight functions in April, naming former Obama White House Counsel Kathryn Ruemmler as global head of regulatory affairs, overseeing the bank’s compliance department.The bank is separately negotiating a settlement with Malaysian authorities, who recently said they would reject offers of as much as $3 billion in contrast to the previous administration that had floated lower figures.MORE:U.S. Said to Discuss Goldman 1MDB Penalty Below $2 BillionGoldman Sachs Is in Talks for Asia Unit to Admit Guilt in 1MDBHow Malaysia’s 1MDB Scandal Shook the Financial WorldLeissner Was a Classic Goldman Power Player Before His FallFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
DOW UPDATE Led by strong returns for shares of Intel and Goldman Sachs, the Dow Jones Industrial Average is climbing Tuesday afternoon. The Dow (DJIA) was most recently trading 78 points (0.3%) higher, as shares of Intel (INTC) and Goldman Sachs (GS) are contributing to the blue-chip gauge's intraday rally.
Goldman Sachs Group Inc's investment bank formed a new group to increase its recruitment and hiring of Black employees and improve career development and retention among existing Black employees, according to a memo sent on Tuesday that was seen by Reuters. A Goldman spokeswoman, Nicole Sharp, verified the contents of the memo and said the new group will work on honing and improving diversity targets set in 2019 specifically for the investment bank. The investment banking division co-heads Gregg Lemkau and Dan Dees will meet with the group bi-weekly and aim to have "specific recommendations for tangible actions ready by this fall," according to the memo, signed by Lemkau and Dees.
Joe Biden took a jab at President Donald Trump on Tuesday by saying that the “very top” of the government should send a message about wearing masks to slow the spread of the coronavirus.
DOW UPDATE Powered by positive momentum for shares of Goldman Sachs and Intel, the Dow Jones Industrial Average is climbing Tuesday afternoon. The Dow (DJIA) was most recently trading 77 points, or 0.
DOW UPDATE Shares of Intel and Goldman Sachs are posting positive gains Tuesday morning, propelling the Dow Jones Industrial Average into positive territory. Shares of Intel (INTC) and Goldman Sachs (GS) are contributing to the index's intraday rally, as the Dow (DJIA) is trading 8 points, or 0.
Tom Essaye, Sevens Report Research Founder, joins Yahoo Finance’s Brian Sozzi and Jared Blikre to discuss the latest market action.
Investing.com - Goldman Sachs (NYSE:GS) Stock rose by 4.02% to trade at $196.77 by 12:33 (16:33 GMT) on Tuesday on the NYSE exchange.
JPMorgan Chase, Bank of America, Citigroup, Morgan Stanley, and Goldman Sachs all say they plan to maintain dividends in Q3, despite the Fed's restrictions.
Global M&A activity tumbled to its lowest level in more than a decade in the second quarter, according to data provider Refinitiv, as companies gave up on expansion plans to focus on protecting their balance sheets and employees in the wake of the coronavirus outbreak. Chief executives were reluctant to explore transformative deals without more certainty about the financial outlook of their companies, deal advisers said.
(Bloomberg Opinion) -- China is attempting to create its own JPMorgan Chase & Co. The ambitions could prove hard to satisfy.Regulatory authorities may allow some of the largest commercial lenders into the brokerage industry to perform services that include investment banking, underwriting initial public offerings, retail brokering, and proprietary trading, local media outlet Caixin reported. With capital markets flailing and direct financing struggling to take hold as debt rises across the economy, what better way than to bring in its trillion-dollar whales to boost the financial sector?There is logic to this. Size matters, and the volumes could lead to success. China’s banks have more than $40 trillion in assets; the securities industry’s amount to around 3% of that. The largest lender, Industrial & Commercial Bank of China Ltd., had 32.1 trillion yuan ($4.5 trillion) in assets and 650 million retail customers as of March, according to Goldman Sachs Group Inc. The biggest broker, CITIC Securities Co., had 922 billion yuan and 8.7 million retail clients. Banks have thousands of branches with deeper distribution channels.But banks are the load-bearing pillars of China’s financial system. Regulators have asked lenders to show leniency with hard-up borrowers and to forego profits in the name of national service, in both tough and normal times. Granting brokerage licenses could help them create another channel of (small) profits.Banks stepping in where brokers have failed could help the broader capital markets. In theory, commercial lenders know how to deal with different types of risk, like with the ups and downs in the value of a security and market movements. They’re already big participants in bond markets and have access. Bringing banks into mainstream brokering could help reduce the intensity of risk associated with the trillions of dollars of credit being created in China every month. It may also help solve a persistent problem: the inefficient allocation of credit that has led to mispriced assets.All of this is contingent upon the banks pulling their weight. Going by past experiments, they haven’t brought the heft that Beijing had hoped. Consider China’s life insurance industry. It took bank-backed players in this sector a decade to build a foothold. Their market share grew to 9.2% last year from 2.5% in 2010. The brokerage arms of Chinese banks in Hong Kong have fared little better. Bank of China International Securities, set up in 2002 by Bank of China Ltd., remains a mid-size broker by assets and revenue, Goldman Sachs says. Top executives come from the bank; related-party transactions with the parent account for just about 14% for underwriting business and around 39% for income from asset management fees.Catapulting ICBC to the same stature as JPMorgan — a full service bank with a 200-year history — may take a while. The American financial giant has hired big, and opportunistically built out businesses. It bought and merged with firms like Banc One Corp. and Bear Stearns Cos. and is in consumer banking, prime brokerage and cash clearing. The services it offers run the gamut of credit cards, retail branches, investment banking, and asset management. Shareholders have mostly rewarded the efforts.For China’s biggest lenders, conflicting and competing priorities will make this challenging. They’re already being required to take on more balance sheet risk, lend to weak companies and roll over loans while maintaining capital buffers, keeping depositors happy and essentially martyring themselves. Now, they’ll be adding brokering at a time when traditional revenue sources are shrinking in that business. And it won’t happen overnight, or even in the next two years. As for brokers? Their stock prices dropped on the news that banks would be wading into their territory.Beijing’s efforts to shore up its capital markets may look OK on paper, but they’re increasingly muddled and interests aren’t aligned. As China attempts to make its financial sector more institutional and less fragmented while it’s also letting in foreign banks and brokers, allowing the big homegrown institutions to do more, with additional leeway, doesn’t necessarily make for a stronger system. As I’ve written, experiments like these can have unexpected results.Over time, it won’t be surprising to see China’s large brokers and banks start looking very similar; for instance, big securities firms becoming bank holding-type companies, as one investor suggested. That may be a laudable goal for Beijing, but is it realistic? And does it take into account the problems on the financing side, such as misallocation and transmission? Ultimately, none of this really gets at one big problem: unproductive credit.All the while, regulators are inviting in the likes of the actual JPMorgan Chase and Nomura Holdings Inc. and giving them bigger roles. China won’t be ready. This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Anjani Trivedi is a Bloomberg Opinion columnist covering industrial companies in Asia. She previously worked for the Wall Street Journal. For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.