GS
The Goldman Sachs Group, Inc.
Financial Services · Capital Markets · United States · Stock
Score Breakdown
Scored for Dividend Income profile
Sub-scores are 0–20 each; Model Score is weighted by your selected investment goal. How it works →
Why Ranked Here
- Above-average scores in profitability (13.7% ROE), financial health (sector-calibrated despite high leverage), and dividends (consistent multi-year growth at a 30.7% payout ratio) anchor the composite score in positive territory.
- A mid-range growth score reflects solid but not top-tier earnings expansion of 20.3% in net income and 26.6% in diluted EPS, which did not reach the model's highest threshold.
- A zero score on the theme factor, because Goldman Sachs is not assigned to any of the 24 tracked macro themes, meaningfully limits the total composite score.
Why Not Higher
- The below-average momentum score — despite clear sequential quarterly gains in net income and operating income — and the complete absence of a macro theme assignment together subtract significant points from what would otherwise be a stronger composite.
- The growth score, while positive, landed in the mid-range, indicating that 20.3% net income growth and 26.6% EPS growth, though solid, were not sufficient to earn a top-tier rating under the model's methodology.
Data Confidence
10 / 10
Very High — full data coverage
Why This Score
Grounded in figures from this company's SEC EDGAR filings — not a restatement of the score itself.
Net income grew from FY2024's $14,276,000,000 to FY2025's $17,176,000,000, a gain of 20.3%, while diluted EPS rose from $40.54 in FY2024 to $51.32 in FY2025, a gain of 26.6%.
Both earnings metrics show meaningful year-over-year expansion, but the model's mid-range score suggests this level of growth, while solid, did not reach the threshold required for a top-tier rating under the model's methodology.
Goldman Sachs reported a return on equity of 13.7% in FY2025.
A 13.7% ROE in FY2025 reflects a meaningful capacity to generate profit relative to shareholder equity, which the model rewarded with an above-average profitability score.
In FY2025, Goldman Sachs carried a debt-to-equity ratio of 2.85, an interest coverage ratio of 0.3, and total assets of $1,809,320,000,000.
The high leverage and sub-1.0 interest coverage ratio are characteristic of large financial institutions whose balance sheet structure differs fundamentally from non-financial firms; the model appears to have calibrated its scoring to reflect this sector context, resulting in an above-average score despite metrics that would signal stress in other industries.
Net income rose sequentially each quarter from $3,723,000,000 in 2025Q2 to $4,098,000,000 in 2025Q3, $4,617,000,000 in 2025Q4, and $5,630,000,000 in 2026Q1; operating income followed the same upward trajectory from $4,958,000,000 in 2025Q2 through $6,486,000,000 in 2026Q1.
Despite a clear and consistent quarter-over-quarter acceleration in both net income and operating income, the model assigned a below-average momentum score, suggesting that the model's momentum methodology may weight additional signals beyond these two metrics or applies a different baseline for this sector.
Dividends per share have risen steadily from $9.00 in FY2022 to $10.50 in FY2023, $11.50 in FY2024, and $14.00 in FY2025, with a dividend payout ratio of 30.7% of net income in FY2025.
A consistent multi-year upward trend in dividends per share combined with a moderate payout ratio in FY2025 signals both commitment to returning capital and room for continued dividend growth, which the model rewarded with an above-average dividend score.
Goldman Sachs is not currently assigned to any of the 24 tracked macro themes in the model.
The absence of a theme assignment is a neutral classification reflecting the model's current coverage, not a commentary on the company's business quality or strategic positioning.
Research Summary
AI-generated analysis reflects data and conditions as of the report date shown above. Verify any specific figures through primary sources before acting on this analysis.
Goldman Sachs delivered strong annual earnings growth, with net income rising 20.3% year-over-year to $17,176,000,000 in FY2025 and diluted EPS climbing 26.6% to $51.32, supported by a 13.7% return on equity that reflects meaningful profitability relative to shareholder capital. The firm's balance sheet carries $1,809,320,000,000 in total assets with a debt-to-equity ratio of 2.85 and an interest coverage ratio of 0.3, metrics that are characteristic of large financial institutions and were scored in that sector context. Quarterly momentum has been consistently positive, with net income accelerating from $3,723,000,000 in 2025Q2 to $5,630,000,000 in 2026Q1, though the model's momentum score remained below average. The dividend profile is a relative strength, with dividends per share growing from $9.00 in FY2022 to $14.00 in FY2025 at a sustainable 30.7% payout ratio, while the absence of a macro theme assignment leaves a portion of the model's scoring framework unaddressed.
Plain English
Goldman Sachs made a lot more money in 2025 than in 2024, keeps raising its dividend every year, and has a massive balance sheet typical of a big bank, but the model scores it in the middle of the pack because its momentum score came in low and it isn't tied to any of the model's tracked macro themes.
Bull Case vs. Bear Case
Bull Case
- Earnings growth is substantial: net income rose 20.3% to $17,176,000,000 and diluted EPS jumped 26.6% to $51.32 in FY2025, demonstrating meaningful year-over-year expansion.
- The dividend track record is compelling, with dividends per share rising every year from $9.00 in FY2022 to $14.00 in FY2025, while the 30.7% payout ratio leaves ample room for continued growth.
- Quarterly earnings momentum is clearly accelerating, with net income climbing from $3,723,000,000 in 2025Q2 to $5,630,000,000 in 2026Q1 across four consecutive quarters of gains.
Bear Case
- The model assigned a below-average momentum score despite visible quarterly acceleration, suggesting additional signals or sector-specific baselines may be working against the stock in this dimension.
- Goldman Sachs carries a debt-to-equity ratio of 2.85 and an interest coverage ratio of 0.3, which, even when interpreted in a financial-sector context, represent elevated leverage that warrants monitoring.
- The firm is not assigned to any of the 24 tracked macro themes, meaning it receives no thematic tailwind credit in the model's scoring framework, capping its composite score.
What Could Change the Picture
Bullish Triggers
- If the model's momentum methodology were updated or recalibrated to more fully credit the consistent quarter-over-quarter acceleration in both net income and operating income, the composite score could improve materially.
- Assignment to one or more of the 24 tracked macro themes would directly add scoring credit that is currently absent, potentially lifting the overall rating.
Bearish Triggers
- A reversal in the quarterly earnings trajectory — particularly if net income or operating income declined from the 2026Q1 peak of $5,630,000,000 and $6,486,000,000 respectively — would undermine the momentum narrative.
- A meaningful reduction in return on equity below the current 13.7% level would weaken the profitability case that currently supports an above-average score in that factor.
Red Flags
- ONE_TIME_REVIEW: 2023 OCF/NI ratio = -1.48 (OCF=-12,587,000,000, NI=8,516,000,000) — possible large one-time item
- ONE_TIME_REVIEW: 2024 OCF/NI ratio = -0.93 (OCF=-13,212,000,000, NI=14,276,000,000) — possible large one-time item
- ONE_TIME_REVIEW: 2025 OCF/NI ratio = -2.63 (OCF=-45,154,000,000, NI=17,176,000,000) — possible large one-time item
Risk Profile
Low RiskGoldman Sachs operates with a debt-to-equity ratio of 2.85 and an interest coverage ratio of 0.3, balance sheet characteristics that are typical for large financial institutions but reflect structural leverage that differs fundamentally from non-financial firms. The model's Low risk rating reflects a sector-aware interpretation of these metrics, though the sub-1.0 interest coverage ratio is a feature of the firm's business model that investors should understand in context.
This report is for educational and research purposes only. It does not constitute financial, investment, legal, or tax advice — always conduct your own due diligence before making investment decisions.