Goldman Sachs remains the top loser on Wall Street, as the investment banking company reported second-quarter earnings and revenue that easily beat analysts' expectations.
According to Arab Net, Goldman Sachs posted a profit of $2.9 billion, or $7.73 per share, during the three months ended last June.
Analysts had expected earnings of $6.61 per share, and the bank achieved revenues of $ 11.9 billion, while this figure means a decrease of 23% from last year, but it still exceeds analysts' estimates of $ 10.7 billion.
Shares of Goldman Sachs, one of the 30 stocks in the Dow, rose 2% in late afternoon trading on Monday.
But the results weren't enough to support the broader market, and Dow Jones and other financial stocks were flat a little lower.
Goldman Sachs thrived despite the fact that stocks fell during the first half of 2022. The environment for banks was particularly challenging.
While competitors, including JPMorgan Chase and Morgan Stanley, announced profits during the past week, but they came below expectations.
Bank of America BEC reported profits and revenues that also failed to meet expectations.
The investment banking side of their business was largely responsible for the disappointing results.
But Goldman Sachs benefited from a massive bond trading unit boost, as fixed income trading yields soared as yields rose thanks to an interest rate hike from the Federal Reserve.
The bank said its consumer and wealth management unit, which includes Marcus Digital Bank, posted record revenues of about $2.2 billion in the quarter, an increase of 25% from the same period last year.
According to a statement, Goldman Sachs CEO David Solomon said that despite the increased volatility and uncertainty, I remain confident in our ability to address the environment.
