Shares of Goldman Sachs Group Inc. (GS) shot up 2.8% in premarket trade Wednesday, after the blue-chip broker stretched its earnings and revenue beat streak to seven quarters, despite a "challenging" market-making environment. Total revenue fell to $8.08 billion from $8.12 billion, but was above the FactSet consensus of $7.50 billion. The revenue beat comes after major-bank peers Citigroup Inc. (C), J.P. Morgan Chase & Co. (JPM) and Wells Fargo & Co. (WFC) missed expectations, while Bank of America Corp. (BAC) topped. For Goldman, the investing and lending business had the biggest beat, with revenue falling 2.1% to $1.91 billion compared with the FactSet consensus of $1.35 billion. Investment banking revenue declined 4.5% to $2.04 billion, above the FactSet consensus of $1.88 billion, and investment management revenue grew 2.5% to $1.70 billion to top expectations of $1.69 billion. That offset a miss in the institutional client services business, where revenue rose 2.3% to $2.43 billion but was below the FactSet consensus of $2.58 billion. Goldman's stock has tumbled 19% over the past three months through Tuesday, while the SPDR Financial Select Sector ETF (XLF) has declined 7.0% and the Dow Jones Industrial Average fell 6.7%.
-Tomi Kilgore; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
January 16, 2019 08:03 ET (13:03 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.