January 16, 2026
Finance

Goldman Sachs Q4 Earnings Surpass Expectations, Analysts Adjust Price Targets

Strong per-share earnings contrasted with revenue miss; optimistic outlook from firm leadership amid mixed market reaction

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Summary

Goldman Sachs reported fourth-quarter earnings that exceeded analyst forecasts on a per-share basis, despite falling short on revenue expectations. Leadership highlighted significant growth since their strategic renewal, signaling confidence in sustained momentum. Several analysts have updated their price targets upward in response, though the stock experienced a modest decline following the announcement.

Key Points

Goldman Sachs reported Q4 earnings of $14.01 per share, surpassing analyst estimates of $11.65 per share.
The company’s quarterly revenue was $13.454 billion, falling short of the estimated $13.791 billion.
CEO David Solomon highlighted significant revenue growth of 60%, improved returns by 500 basis points, and shareholder returns exceeding 340% since their strategic relaunch.
Analysts from Keefe, Bruyette & Woods and Wells Fargo maintained positive outlooks, lifting their price targets for Goldman Sachs stock.

Goldman Sachs Group, Inc. (NYSE: GS) revealed its financial results for the fourth quarter, showcasing earnings per share that outperformed expectations. The firm posted earnings of $14.01 per share, eclipsing the consensus estimate, which stood at $11.65. Meanwhile, total revenues amounted to $13.454 billion, slightly underperforming relative to the anticipated $13.791 billion.

In remarks accompanying the earnings disclosure, Chairman and CEO David Solomon reflected on the progress made since the company’s initial Investor Day. He noted, "Since our first Investor Day where we laid out our comprehensive strategy, the firm has grown its revenues by 60%, improved returns by 500 basis points and delivered total shareholder returns of more than 340%. We continue to see high levels of client engagement across our franchise and expect momentum to accelerate in 2026, activating a flywheel of activity across our entire firm." This statement highlighted the company’s confidence in sustained growth and client demand moving forward.

Despite the earnings beat on a per-share basis, Goldman Sachs’ stock experienced a slight pullback, falling approximately 1% to close at $966.49 on trading days following the earnings release.

Financial analysts have taken note of these results, revising their outlooks on Goldman Sachs’ stock accordingly. Notably, Christopher McGratty of Keefe, Bruyette & Woods sustained a Market Perform rating while increasing the price target from $971 to $1,000. Similarly, Mike Mayo from Wells Fargo continued to recommend an Overweight rating on the shares, raising his price target to $1,050 from a previous $970.

These analyst adjustments indicate a positive reassessment of Goldman Sachs’ value proposition given the recent quarterly performance and the firm’s strategic outlook. However, the mixed outcomes in earnings and revenue figures, along with the marginal decline in share price, underscore ongoing market uncertainties.

Investors considering a position in Goldman Sachs may weigh these factors in their decision-making, given the balance of strong earnings per share, modest revenue shortfall, and cautious market reaction post-release.

Risks
  • Despite earnings surpassing expectations, Goldman Sachs missed revenue forecasts, indicating potential volatility in top-line performance.
  • The stock declined 1% following earnings, reflecting market reservations despite favorable per-share results.
  • Analyst ratings were maintained rather than upgraded to Strong Buy or equivalent, suggesting some caution in market outlooks.
Disclosure
Education only / not financial advice
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Ticker Sentiment
GS - neutral
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