Goldman Sachs Group Inc. shares (NYSE: GS) rallied 0.5% in the premarket session on Monday, after the financial services company reported better-than-expected Q1 earnings but missed revenue expectations (see the GS chart here).
Net income dropped to $2.18 billion ($5.71 a share) from $2.74 billion ($6.95 a share) in the year-ago period. Factset’s earnings per share consensus was $4.89. Revenue tumbled to $8.81 billion from $10.08 billion, lower than FactSet estimates of $8.93 billion.
Investing and loan revenue missed expectations dropping 14% to $1.84 billion, lower than estimates of $1.87 billion, while investment banking revenue was relatively flat at $1.81 billion to exceed expectations of $1.65 billion.
Goldman’s stock advanced 24.4% year to date through April 12, while the SPDR Financial Select Sector ETF XLF surged 13.9% and the Dow Jones Industrial Average DJIA has soared 13.2%.