Goldman Sachs (NYSE:GS), rose slightly after UBS upgraded the stock to buy from neutral, saying the company is attractively priced with minimum risk ahead. Analyst Brennan Hawken increased his price target to $385 from $350, suggesting shares stand to gain 17.6% from Tuesday’s close price.
Hawken noted that the Wall Street bank — which isn't as exposed to consumer deposits and commercial banking as its peers — is poised to perform well in an environment of elevated market volatility.
"The firm also has an opportunity to accelerate the growth of their A&WM (Asset & Wealth Management) platform and their transactional banking business through attractively priced M&A, especially if stress in the banking system presents further inorganic opportunities," Hawken wrote in a note to clients.
He also pointed out that Goldman's stock valuation is attractive relative to its history, trading at 1.1x price/tangible book value , well below its average of ~1.3x over the last two years.
The Buy rating aligns with the SA Quant rating , as well as the average SA Analyst rating and the average Wall Street rating.
Other news: Goldman intends to launch a new exchange traded fund focused on the pipeline industry, with the financial institution submitting a prospectus for the Goldman Sachs North American Pipeline & Power Equity ETF.
According to the U.S. Securities and Exchange Commission filing , Goldman’s ETF aims to offer exposure to U.S. and Canadian equity-based securities that are structured as master limited partnerships, operating in the pipelines and power universe of businesses.
GS shares moved north $2.29 to $329.66.
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