The best on the Street seems to be back.
Goldman Sachs shares were hovering around the flat line on Tuesday. The bank's profit smashed through analyst estimates after its fixed income, currency and commodities unit posted record quarterly revenue. Goldman posted income of $3.44 billion, or $4.93 a share, up from $2.09 billion, or $4.58 a share, a year earlier. The latest results included a $426 million dividend related to the company's paying back its TARP funds. Excluding that, earnings were $5.71 a share, which beat analyst estimates by more than $2 a share. Net revenue jumped 46% to $13.76 billion.
Read: The latest results included a $426 million dividend related to the company's paying back its TARP funds. So the Treasury made money on its investment: $426 million on $10 billion. On June 19 a story confirmed that GS was one of the institutions that had repaid the Treasury (on 17 June). So perhaps GS had TARP funds for six months; the Treasury made about 8.5% in such a case. Not bad.
But many in the market had expected Goldman to post a strong quarter, and in fact stock futures moved off their best levels of the day after the bank's results.