Stock Analysis | Goldman Sachs Outlook - A Stock in the Red Zone?

Market Snapshot

Takeaway: Goldman Sachs (GS) is showing weak technical momentum with a low internal diagnostic score of 2.97, suggesting a cautious stance.

News Highlights

• Top 6 trends shaping the capital markets sector in 2025 (April 2, 2025):

The capital markets outlook remains optimistic, with financial services firms adapting to changing regulations and AI-driven opportunities. This may offer long-term support to Goldman Sachs, though it may not reverse current short-term bearish signals.

The 3 Pressing Challenges Facing the Capital Markets (July 17, 2025):

Capital markets firms are navigating high volatility and data-volume pressures, which could strain infrastructure and investor sentiment. These risks may weigh on GS's operations and stock price in the near term.

Global Private Markets Report 2025 (May 19, 2025):

Global private markets saw a mixed recovery in 2024, with dealmaking remaining tepid. This could indirectly affect Goldman Sachs, which has a large private markets business. However, the firm's diversified revenue streams may cushion some of the blow.

Analyst Views & Fundamentals

Average Analyst Rating (Simple Mean): 3.14

Weighted Rating (Performance-Weighted): 2.42

Rating Consistency: Dispersed, with a recent 4 Neutral, 2 Buy, and 1 Sell rating.

Price Trend Alignment: Current price rose by 4.60%, but analyst expectations remain relatively neutral and mismatched with this upward movement.

Fundamental Highlights

• Revenue-MV: $0.04 (Internal score: 3.00)
• Days sales outstanding: 118.53 days (Internal score: 2.00)
• Current liabilities / Total liabilities (%): 49.46% (Internal score: 1.00)
• Fixed assets turnover ratio: 1156.06x (Internal score: 3.00)
• Cash-UP: $0.24 (Internal score: 2.00)
• Interest coverage ratio (EBIT / Interest expense) (%): -89.48% (Internal score: 2.00)
• GPOA: 10.01% (Internal score: 2.00)
• Diluted earnings per share (YoY growth rate %): 24.05% (Internal score: 2.00)
• Current assets / Total assets (%): 47.41% (Internal score: 1.00)
• Cash-MV: $0.53 (Internal score: 3.00)

Goldman Sachs’ fundamentals are mixed. While revenue and earnings show strong growth, liquidity and liability management appear under pressure. The low internal diagnostic scores on key metrics suggest a fundamental caution.

Money-Flow Trends

Goldman Sachs is currently seeing a negative overall fund-flow trend. The inflow ratios across all sizes of capital are hovering between 48.7% to 49.6%, indicating that the majority of large institutional and retail investors are selling or staying on the sidelines.

• Small Inflow Ratio: 49.56%
• Medium Inflow Ratio: 48.87%
• Large Inflow Ratio: 48.72%
• Extra-large Inflow Ratio: 49.04%

With an overall fund-flow score of 7.89, the outflows and hesitancy among large players are a red flag, especially given the already weak technical and fundamental signals.

Key Technical Signals

Goldman Sachs has a technical score of 2.97, indicating a weak chart environment and a bearish tilt. The analysis over the past five days highlights five bearish signals against zero bullish ones.

Recent Indicators

• MACD Death Cross: Score 6.83 on internal diagnostic scale (July 31, 2025)
• Ex-Dividend Date: Score 1.00 (August 29, 2025)
• Dividend Record Date: Score 1.00 (August 29, 2025)
• WR Overbought: Score 3.42 (August 26-29, 2025)
• Bullish Engulfing: Score 2.00 (August 26, 2025)

Despite a few neutral or slightly bullish candlestick signals in early August, the more recent indicators—especially the bearish MACD Death Cross and the negative sentiment around the dividend dates—are pulling the chart lower. The internal diagnostic score is a clear warning sign for bulls.

Conclusion

Goldman Sachs is facing a confluence of bearish indicators across technical, fundamental, and fund-flow dimensions. With weak internal diagnostic scores on both technical and fundamental metrics, and a mixed analyst outlook, the stock is currently in a red zone. Investors should consider waiting for a more favorable setup or a meaningful pullback before entering or adding to positions. Watch for earnings and key macroeconomic data in the coming months for potential catalysts.