Displaying items by tag: consumer finance

Thursday, 02 January 2020 10:43

Why Goldman May Be a Great Buy

(New York)

Goldman Sachs was the stock of the year in 2019. It was the best performing stock in the Dow, gaining more than 37% in the year. The bank started the year poorly with its 1MDB scandal, but as the year went on, David Solomon’s (the bank’s new CEO) leadership started to help the stock. The bank settled the issues and its earnings improved. It also made a large push into consumer finance as part of an effort to diversify its business and become a “modern, digital consumer bank”. The bank, through “Marcus”, its new consumer lending unit, is offering consumer savings products, while Goldman itself is partnering with Apple on the company’s new credit card.


FINSUM: In our view, Goldman’s stock price outlook is very linked to the big new push it is making in consumer finance. Its core business will likely continue to perform as it has, so the real difference maker will be its new business lines and the success of its “modernization”.

Published in Eq: Financials
Monday, 16 April 2018 09:00

Goldman Sachs Forging Ahead with Acquisition

(New York)

Goldman Sachs seems very committed to expanding its business. Not only is the bank trying to make a bigger push into wealth management, but it also also reportedly downsizing its trading unit and putting more resources into its consumer finance business. It now offers consumer savings products, and last week, made an acquisition to grow revenue in its consumer business. The bank bought consumer finance app Clarity Money, whose CEO is Adam Dell, younger brother of Michael Dell. The app helps consumers lower their bills and suggest ways to help their budgets and then keeps a cut of the savings.


FINSUM: To us it is quite amazing how Goldman is proactively shedding its elite image to become more broadly consumer focused. We wonder how it will affect its business in the long run.

Published in Eq: Large Cap

Contact Us

Newsletter

Subscribe

Subscribe to our daily newsletter

Top
We use cookies to improve our website. By continuing to use this website, you are giving consent to cookies being used. More details…