Good Time to Buy Goldman Sachs?

Let’s talk about Goldman Sachs (NYSE:GS).

Six years after the Lehman debacle, I think Goldman Sachs (NYSE:GS) is a good place for investors looking for stability to the upside. Something you should consider. They pay a $2.20 dividend yield. In the most recent quarter, it reported revenue of $9.13 billion. Investment banking was almost $2 billion, that was up 15%.

Now the only problem they had was the institutional business. At almost $4 billion, it was down 11%, but investing and lending up 46%, investment management up 8%. Assets under management climbed 19% year-over-year to over a trillion dollars. This company is number one in announced and completed mergers, and it did extraordinarily well in equities and equity related offerings. There’s some concern about Dodd Frank and the Basel requirements. But I think most investors are over the idea that those pose a great risk to the company anymore.

On that note, the stock broke above a double top Monday on pretty good volume. I like it without a whole lot of technical resistance points. Over the next year, I think you can see it rally up to $220. Short term, it’s not for traders, long term I think it is, although it is extraordinarily volatile -- much more than the average market and of course it’s an investment banking name.

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