GS Analysis: Goldman Sachs Earns $17 Billion in 2025 as Wall Street's Premier Investment Bank Trades at 18x Earnings — 6% Below Its All-Time High
Goldman Sachs (NYSE: GS) has completed a remarkable transformation. The firm that nearly defined the 2008 financial crisis has posted $17.2 billion in net income for fiscal 2025, its best year since the post-pandemic trading boom, while its stock has surged more than 110% off its 52-week low of $439.38 to trade at $922.24 — just 6% below its all-time high of $984.70. The numbers tell a story of a company firing on all cylinders. Full-year revenue hit $125.1 billion, diluted EPS came in at $51.32, and the firm's return on equity has climbed back above 14% on an annualized basis. With a market capitalization of $279 billion and a price-to-earnings ratio of 18x, Goldman trades at a modest premium to peer JPMorgan Chase (15x) but well below the broader S&P 500 multiple — raising the question of whether Wall Street's most storied franchise still has room to run. This analysis examines Goldman's valuation, earnings trajectory, balance sheet health, competitive positioning in investment banking and trading, and forward outlook to determine whether GS deserves a place in your portfolio at current levels.