Goldman Sachs CEO David Solomon admits the Wall Street giant expanded too quickly into consumer banking following earnings stumble
in a decade, CEO David Solomon admitted that the company moved too quickly into its consumer business.Solomon told CNBC on WednesdayThe Wall Street giant's fourth-quarter earnings showed that profits cratered 66% from a year prior, clocking in at roughly $1.33 billion, or $3.32 a share, and 39% below the average estimate. Refinitiv data cited by CNBC noted that on a an earnings-per-share basis, it was the largest miss since October 2011.
Similarly, Goldman's acquisition of the Apple Card account in 2019 has also fallen short of profit expectations. He is still optimistic about the firm's partnership with Apple, and added that Goldman has a"very good deposits business."
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