Should I buy Goldman Sachs stock in 2025?

What is Goldman Sachs?

How much is the Goldman Sachs stock?

The price of Goldman Sachs stock is declining this week. As of now, Goldman Sachs trades at $604.86, reflecting a 24-hour decrease of $3.58 (-0.59%) and a slight weekly dip. The company holds a robust market capitalization of $186.69 billion, with an average 3-month volume of 2,971,350 shares. Its price-to-earnings (P/E) ratio is 14.04, the dividend yield stands at 1.98%, and the stock’s beta is 1.31, indicating above-average volatility. Investors in South Africa should note that while the share has shown notable long-term gains, the current period may present short-term fluctuations that require careful consideration.

Our full analysis on the Goldman Sachs stock

We have meticulously reviewed the latest quarterly results and the stock performance of Goldman Sachs (NYSE: GS) over the past three years, analysing its financial metrics, technical signals, and comparative industry data. Our proprietary algorithms, which synthesize multiple authoritative sources, point to a robust multi-dimensional profile for the bank’s equity. So, why might Goldman Sachs stock once again become a strategic entry point into the US financial services sector in 2025?

Recent Performance and Market Context

Goldman Sachs’ share price currently stands at $604.86 (as of 30 May 2025), placing it near the upper end of its 52-week range ($437.37–$672.19). Over the previous year, the stock has delivered an impressive +32.31%, outperforming both the S&P 500 Financials and major peers such as Morgan Stanley and JPMorgan Chase. Year-to-date, GS maintains a positive trajectory (+5.63%) despite a broadly flat six-month stint (-0.61%), highlighting its resilience amidst sector rotation and macro volatility.

Several recent developments underpin this robust performance:

• Record Q1 2025 results: The company posted one of its best quarters ever, with a net profit of $4.74 billion, exceeding consensus estimates.
• Steady trading volume: A 3-month average of nearly 3 million shares daily signals consistent institutional engagement.
• Positive sector tailwinds: Renewed optimism in investment banking, a rebound in IPO markets, and increasing cross-border transactions are fueling sector momentum.

From a global and ZA perspective, continued regulatory clarity in US and EU financial markets reduces political risk, offering something of a hedge against more idiosyncratic emerging market headwinds. SA investors seeking USD exposure benefit from Goldman Sachs’ worldwide diversification and the relative strength of USD-denominated assets.

Technical Analysis

The technical landscape for GS stock remains encouraging. The Relative Strength Index (RSI) at 60.49 is in bullish-neutral territory, suggesting room for upside before any overbought signals appear. The Moving Average Convergence Divergence (MACD) is notably positive at 18.39, reflecting a clear bullish momentum shift since early Q2.

Key technical highlights include:

• Major support: $467.13, established over the last year, has repeatedly triggered buying interest during corrections.
• Resistance and breakout potential: The principal near-term technical ceiling is the 52-week high at $672.20. With the stock consolidating above its long-term moving average (~$545.17), breakouts above this level could invite trend-following inflows.
• Structure: The short- and medium-term uptrend remains intact, with higher lows forming since October 2024, and a favorable medium-term chart pattern signaling robust underlying demand.

Collectively, these indicators suggest strong support for new entrants, while the absence of overextension implies a healthy technical backdrop for medium-term accumulation.

Fundamental Analysis

Goldman Sachs' foundational profile exhibits both resilience and significant upside potential. Q1 2025 results underscore substantial profitability—$15.06 billion in revenue (+6% year-over-year) and $4.74 billion in net income (+15% YoY)—which translated into a remarkable EPS of $14.12, exceeding consensus by $1.55. Operating margins remain robust at 31%, and the bank delivered an annualized ROE of 16.9%, placing it among the global leaders.

Key factors reinforcing a positive stance:

• Attractive valuation: With the stock trading at a P/E multiple of 14.04, Goldman Sachs is valued below its long-term median and at a meaningful discount to many global financial sector bellwethers (often >16x in comparable conditions), indicating potential relative undervaluation.
• Peer-leading profitability: Sustained net interest margin expansion and a 1.98% annual dividend yield enrich total return prospects compared to fixed income yields, notably for ZA-based investors seeking dollar-denominated growth.
• Strategic expansion: Following a deliberate pivot, GS is reaping the rewards of diversifying beyond classic investment banking into wealth management, private markets, and asset management—a critical lever for supporting secular revenue growth.
• Structural dominance: Global brand recognition, an adaptive business model, and demonstrated ability to navigate macro and regulatory shocks position Goldman Sachs’ franchise defensively and offensively alike.

Robust fundamentals, coupled with an attractive risk-reward trade-off at current multiples, justify renewed investor interest.

Volume and Liquidity

Sustained liquidity is a hallmark of GS equity. The 3-month average daily trading volume of nearly three million shares provides deep order-book resilience, critical for both institutional and retail investors. The sizable market float (305.15 million shares out of 306.84 million outstanding) ensures minimal exposure to disruptive block trades or illiquidity-driven drawdowns.

This consistent turnover reflects a high level of market confidence and institutional conviction, supporting dynamic and responsive price discovery. For investors in ZA actively seeking USD assets with vibrant secondary market activity, GS compares favorably to many less-liquid alternatives.

Catalysts and Positive Outlook

Several tailwinds support a constructive medium- to long-term outlook for Goldman Sachs:

• IPO resurgence: CEO David Solomon forecasts a “marked upturn” in IPO activity for 2025 following a subdued prior cycle—translating directly into higher investment banking fees and cross-sell opportunities.
• Market trading dynamism: Q1 2025 saw equity trading revenues surge +27% to $4.19 billion, reflecting robust market participation and volatility-driven opportunities.
• Private market and asset management: The group’s reinforced positioning in private markets and its enhanced suite of asset management offerings now contribute a growing share of stable, fee-driven income—critical in an evolving regulatory climate.
• Regulatory clarity: Tighter yet clearer regulatory regimes in the US and EU are likely to reduce sector risk, facilitating more aggressive but controlled expansion strategies.
• Innovation and ESG: Ongoing digital platform investment, sustainability-linked investment products, and a clear commitment to ESG principles enhance brand equity and broaden the institutional client base globally.

The confluence of these factors underpins a robust, multi-year growth thesis rooted in both cyclical recovery and structural expansion.

Investment Strategies

For varying investor horizons, the current backdrop provides compelling arguments for strategic positioning:

• Short-term: Recent consolidation above key technical support ($545) and strong Q1 earnings provide a well-timed entry for momentum-based strategies, especially on confirmed breakouts above $672.
• Medium-term: For those seeking to capture the anticipated IPO/market revival and expanding asset management operations, dollar-cost averaging during periods of moderate volatility may offer a balanced risk/reward profile.
• Long-term: For growth-oriented investors or institutional allocators, Goldman Sachs’ global franchise benefits from exceptional capital return metrics, business model evolution, and a dividend yield that complements long-term capital appreciation.

Current levels thus appear favorable for initiating or accumulating exposure, particularly ahead of expected catalyst events such as upcoming quarterly results, potential M&A, or major IPO mandates.

Is it the Right Time to Buy Goldman Sachs?

In summary, Goldman Sachs not only displays superior financial momentum and technical vigor but also stands poised to benefit from sectoral catalysts that may redefine the competitive landscape over the next 12–24 months. The bank’s Q1 results reinforced its operational acumen, while its valuation—at just 14x TTM earnings—remains supportive of further price appreciation, especially versus market historical trends and global peers. Ample liquidity and a responsive float further mitigate execution risk, enhancing market accessibility for all investor segments.

While political and macroeconomic uncertainties should be monitored, the convergence of positive financial, technical, and strategic signals suggests that Goldman Sachs seems to represent an excellent opportunity for those seeking diversified USD exposure within the financial sector. For investors in South Africa and beyond, the stock’s risk/reward profile, underpinned by innovation, management expertise, and demonstrated resilience, justifies renewed and close consideration.

For those seeking global, blue-chip financial exposure with compelling upside potential, Goldman Sachs may well be entering a new bullish phase—making this a moment worth assessing with conviction.

How to buy Goldman Sachs stock in South Africa?

Buying Goldman Sachs shares online is accessible, straightforward and secure when using a regulated broker licensed for South African investors. You can either purchase real Goldman Sachs shares outright (“spot buying” or “cash buying”), or trade price movements using contracts for difference (CFDs). These two methods each have their own features and risks. Let’s take a closer look at how each one works, before moving on to a broker fee and feature comparison further down the page.

Spot buying

Spot buying means you purchase real shares of Goldman Sachs (GS) on the stock market and become a legal shareholder. This is the most classic form of investing, suitable for long-term investors who want to benefit from share price appreciation and potential dividends. South African brokers typically charge a fixed commission per order, for example, R100–R200, plus a small exchange and settlement fee.

Example

If the Goldman Sachs share price is $604.86 (about R11,300 at current rates), you could buy approximately 1.65 shares with a $1,000 (R18,700) investment, after accounting for a brokerage fee of about $5.

✔️ Gain scenario

If the share price rises by 10%, your shares are now worth $1,100 (R20,570).

Result: +$100 (+R1,870) gross profit, i.e. +10% return on your original investment.

Trading via CFD

CFD trading lets you speculate on the price movements of Goldman Sachs shares without owning the underlying stock. With CFDs (Contracts for Difference), you can use leverage — meaning a relatively small deposit gives you amplified market exposure. Brokers typically charge a “spread” (the difference between buy/sell price) and, if you keep positions open overnight, a daily financing fee.

Example

You open a CFD position on Goldman Sachs shares with a R18,700 ($1,000) stake and use 5x leverage. This gives you market exposure of R93,500 ($5,000).

✔️ Gain scenario

If the share price rises by 8%, your position gains 8% × 5 = 40%.

Result: +R7,480 (+$400) gain on your R18,700 ($1,000) outlay (excluding fees).

Final advice

Before making your investment, always compare brokers’ commissions, spreads and account features to find the option that best fits your needs. Some offer more competitive fees, additional research tools, or better access to global markets. Your final choice should reflect your personal investment goals, whether you prefer to own the shares as a long-term asset or to trade short-term price movements with leverage. For a full broker comparison tailored to South African investors, see the detailed table provided further down this page.

Our 7 tips for buying Goldman Sachs stock

The latest news about Goldman Sachs

Goldman Sachs reported exceptional Q1 2025 results with 15% net income growth and robust trading gains. The bank delivered net profits of $4.74 billion for the quarter, up 15% from Q1 2024, while earnings per share reached $14.12, significantly surpassing analysts’ consensus expectations by $1.55. This marks one of the strongest quarterly showings in the company’s history, driven largely by a 27% surge in equity trading revenues and continued momentum across its market activities. Such strong financials have solidified positive investor sentiment globally and remain especially relevant for South African stakeholders, given the extensive footprint of Goldman Sachs in facilitating capital markets access, corporate advisory, and international investment flows pertinent to the region.

CEO David Solomon expressed optimism for an IPO surge in 2025, supported by positive signals in deal activity worldwide. At recent industry events and during the latest earnings call, Solomon emphasized that the environment for initial public offerings is expected to materially improve throughout 2025, as regulatory conditions stabilize and capital-raising pipelines regain strength. This is of particular importance to South African institutional investors and corporates seeking to access foreign listings, raise capital, or engage in cross-border mergers – areas where Goldman Sachs has historically acted as a key advisor and partner. A rebound in global IPO activity is likely to translate into increased opportunities for local market participants to collaborate with or benefit from Goldman Sachs’ worldwide network.

Technical indicators reveal a neutral-to-bullish outlook, with RSI and MACD signaling constructive momentum for the stock. As of May 30, 2025, the 14-day relative strength index stands at 60.49, denoting a slightly bullish trend, while the MACD remains positive. The share price has gained over 32% in the past year, and current trading levels ($604.86) are comfortably above long-term moving averages. For South African asset managers and pension funds, these technical signals complement the company’s favorable fundamentals, suggesting continued resilience and the potential for further upside in equity allocations to international financial services leaders such as Goldman Sachs.

Goldman Sachs continues to strengthen its relevance in South Africa, especially through cross-border deal-making and capital markets expertise. The firm has maintained a visible presence in the South African financial ecosystem, regularly advising on high-profile transactions, capital market placements, and private capital mobilization. Its capabilities in asset and wealth management, as well as M&A advisory for JSE-listed multinationals and state entities, support broader economic development and innovation in the region. Recent strategic engagement with South African corporates and sovereign entities enhances confidence among local investors and reinforces Goldman Sachs’ position as a gateway to global capital and investment expertise.

The macro environment remains a moderate tailwind, and regulatory clarity boosts growth prospects for Goldman Sachs and stakeholders in ZA. Enhanced regulatory predictability for global banking has been underscored by Goldman Sachs’ leadership, who have communicated improved visibility on capital rules and international compliance standards. This stability encourages capital deployment and deal execution, with positive spillovers for South African firms and funds looking to diversify or raise capital internationally via Goldman Sachs’ platforms. Moreover, as the local financial sector increasingly integrates with global markets, Goldman Sachs’ balance sheet strength and diversification across banking, asset management, and trading continue to offer attractive partnership avenues for South African investors and institutions.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.