GS is just like rimm. Just when it looks like its going to reverse, it goes higher. I'd wait for a bit.
rimm was a long afterall, innit. as usual gaps up after stunnin' report are more likely to keep goin' higher than not; greedy shorts got trashed and fut-trd was right but early, should have 'prolly' hold into the retracement.
Do not think of Goldman Sachs in the same way you think of other institutions. Goldman Sachs is a publicly traded hedge fund more or less. Their methods are more secretive then others and they prefer to remain as understated as possible. When Kwami appeared on the Apprentice, they had asked him to resign from Goldman Sachs and to make little mention of them. On the show, Kwami never mentioned he worked for Goldman, instead he said that he worked on Wall Street and never gave details about what he exactly did. He never talked about his work at Goldman like the other candidates did for their respective employers. I had met a Goldman trader at a Trader Monthly function and he seemed very quiet. When I asked about some details of his work there, he didnt have much to say. Due to their secretive nature and hedge fund like attributes, I cannot state accurately which way Goldman will go purely by the fundamentals. In looking at a macro chart, I can say with certainty that this company has enjoyed a Google-like existence with the price tripling since 2002-2003 period. It seems that there is a decent pullback each May followed by a nice surge. If the pattern continues, then the entry point would probably be in May. The P/E does look very attractive. Its trading significantly under the S&P500 average. However, we are at a new turn in the economy where a recession seems highly likely, growth is the question and interest rates seem to be escalating. In 2004, we could say with certainty that 2005 would be a nice bull run year with lots of growth and small caps would rage. However, in 2006 I cannot sit here and accurately state what will happen in 2007. Housing crash? Recession? I am not certain. All of the historical signs point to recession. The bond market is telling me recession. However, all of the real signs point to growth and expansion. The real signs I mean that companies like Caterpillar are still painting a rosy sign for the future. Im not going to jump into Goldman Sachs myself due to uncertainty, but if pressed for an opinion on the stock price I say it goes higher. Target price=$200. Once it breaks through the $200 barrier then the sky is the limit from there. The 200 mark is a psychological barrier. Once broken, then its going to break your technical analysis chart. Count on it.
Hedge fund, ehh? Yeah one with very special privilieges that would get others prosecuted. Let's just say they have a number of special edges that will make sure that they will always make money. You can look at the SEC rulings for confirmation. Or look at the headlines about their deals, hilarious what they can get away with. Earnings expectations may get out of whack and cause a gap down. Just a chance to buy.