GS: Wall Street Is Selling Wall Street Wrong
Goldman Sachs is trading at $792.37 after an 8.6% drawdown that has nothing to do with Goldman Sachs. The financial sector selloff, triggered by the Iran-Hormuz [oil shock](/posts/2026-03-12/oil-shock-wti-surges-past-95-on-hormuz-crisis) and cascading geopolitical anxiety, has dragged GS shares from near $985 to levels that now sit almost exactly on the 200-day moving average. The market is pricing Goldman like a bank with a problem. The earnings say otherwise. Four consecutive quarters of net income above $3.7 billion. TTM EPS of $51.32. Revenue run-rate north of $125 billion. A return on equity that annualizes near 15%. These are not the numbers of a company in distress — they are the numbers of an institution firing on all cylinders while the market panics about oil tanker routes. At 15.4x trailing earnings, Goldman is cheaper than it has been relative to its own earnings power in over a year. The contrarian case writes itself: when Wall Street sells Wall Street on macro fear rather than fundamental deterioration, the snap-back is usually swift and punishing for those who sold. Goldman's Q4 2025 alone generated $14.21 in EPS — nearly a full percentage point of the current share price in a single quarter. The question is not whether Goldman can earn its way through geopolitical noise. It already is.