UBS’ Top Tech Based Disruptive Stocks For 2030: Top 29 Stocks

11. The Goldman Sachs Group, Inc. (NYSE:GS)

Number of Hedge Fund Holders In Q2 2024: 68

The Goldman Sachs Group, Inc. (NYSE:GS) is one of the most well known and biggest banks in the world. However, despite its heft and brand image, it has been one of the most struggling banks on Wall Street recently. As of H1 2024, 63% of its pre expense revenue came from interest, while the remainder was dominated by market making operations. This signifies The Goldman Sachs Group, Inc. (NYSE:GS)’s stature as one of the world’s premier investment banks. Consequently, investment banking is at the center of its hypothesis, and the decision to close its struggling consumer division has also allowed the stock to recover from the pain it felt in 2023. The Goldman Sachs Group, Inc. (NYSE:GS)’s shares are up 32% year to date and 73% over the past twelve months. The diversified business also means that the bank stands to benefit from a resurgence in the stock market and investment activities and hedge some of the revenue drop stemming from future Fed rate cuts.

Ariel Investments mentioned The Goldman Sachs Group, Inc. (NYSE:GS) in its Q4 2023 investor letter. Here is what the firm said:

“Global investment bank, Goldman Sachs Group, Inc. (GS), also increased in the period on solid earnings results. The top- line came in strong led by elevated financing activity and an improvement in advisory revenues, despite weak transaction volumes within the investment banking segment. Should conditions remain conducive, management remains cautiously optimistic the business will experience continued recovery in both capital markets and strategy activity. Meanwhile, GS continues to successfully execute on its strategic initiatives to improve the overall return of the company. It is right sizing headcount and narrowing its ambitions in consumer strategy through divestitures and an enhanced focus on driving profitability in Platform Solutions by 2025. With potential regulatory capital constraints from B3E, GS noted it will reign in buybacks over the short-term but maintain its dividend. Looking ahead, we continue to view the near and long-term outlook for Goldman as attractive at current levels, given favorable business trends, continued positive momentum on strategic initiatives and active expense/capital management programs.”