The Goldman Sachs Group, Inc.

The Goldman Sachs Group, Inc. is an American multinational investment bank and financial services company that provides investment banking, global markets, asset management, and wealth management services to corporations, financial institutions, governments, and individuals worldwide, generating $58.3 billion in net revenues in fiscal 2025. Founded in 1869 and headquartered in New York City, the firm has evolved from a commercial paper dealer into one of the most influential financial institutions globally, with $1.8 trillion in total assets and $3.7 trillion in client assets under supervision as of early 2026.

This is a story about a franchise that spent a decade re-engineering itself. From 2015 to 2025, Goldman Sachs exited or narrowed consumer banking ambitions that proved costly, absorbed a costly but necessary transformation into a regulated bank holding company, and redirected capital toward durable revenue streams — financing, wealth management, and asset management — while preserving its dominant position in investment banking and trading. The result is a firm that produced its second-highest quarterly net revenues and earnings per share in Q1 2026 in a period of considerable geopolitical uncertainty.

The file turns on a single question: whether the market is correctly pricing the durability of Goldman's transformed earnings stream. At roughly 2.6 times book value and 17.6 times trailing earnings, the stock credits the firm for having become less cyclical than it was, but still discounts it relative to the pure-play asset managers and wealth franchises whose characteristics Goldman's strategy increasingly resembles.