December 28, 2012- Goldman Sachs (GS) stock rose on Tuesday to its highest level in nearly nine months thanks to the release of news that a prominent analyst had upgraded the company’s stock saying that the investment bank is well-positioned for 2013.
The analyst, Doug Sipkin, of Susquehanna Financial Group, raised Goldman Sachs; rating from “Neutral” to “Positive” and increased his Price Target for the company from $127 to $149. The analyst also advised his clients to strongly consider investing in the New York-based company.
According to Mr. Sipkin, Goldman Sachs is much better staffed, by which he meant properly staffed, than their competitors and also primed to capitalize in a big way if the United States Congress is able to reach a debt deal and avoid the much talked about “fiscal cliff.”
The good news had a positive effect on the stock’s performance yesterday. When trading ended on Wednesday, Goldman Sachs stock had increased $3.65 or three percent to close at one hundred twenty-seven dollars.
The heaviest trading occurred in the afternoon, probably because investors were reacting to the analyst’s upgrade which was made public earlier the same day.