Goldman Sachs reported strong fourth-quarter 2025 earnings with a 22% annual growth in its investment banking and markets business. The firm raised its long-term targets for asset and wealth management fundraising and reiterated midteens ROEs. Market conditions are favorable for another strong year in 2026 with an expected 11% growth in global investment banking revenue to USD 115 billion. Goldman’s market share is forecasted to be 9.7% over the next decade.

Following the sale of its Apple Card portfolio, Goldman Sachs is expected to generate midteens returns on tangible equity. The firm is shifting towards capital-efficient lending, wealth, and asset management revenue streams. Morningstar has raised its fair value estimate for Goldman Sachs to USD 700 from USD 630. Shares still trade at a 40% premium to the revised valuation.

Read more at Morningstar: Goldman Sachs Earnings: Valuations Remain Stretched, but We’re Appreciative of Recent Progress