EARN25

Goldman Sachs Stock Ticks Higher After Another Layoff Announcement

The security is eyeing its highest close in roughly eight months

Digital Content Manager
Nov 18, 2020 at 10:46 AM
    facebook X logo linkedin


    Financial name Goldman Sachs Group Inc (NYSE:GS) is climbing higher this morning, last seen up 1% at $226.90, following news the company would lay off an undisclosed number of workers in an effort to reduce operating expenses by $1.3 million over the next three years. This marks Goldman Sachs' second round of layoffs this year, though the company does not expect this round to exceed the 400 positions cut in September.

    Earlier this month, the security just enjoyed an impressive bull gap above recent pressure at its 120-day moving average, thanks to an upbeat vaccine update from Pfizer (PFE) that gave bank stocks a boost. Now, GS is eyeing its highest close in roughly eight months -- poised to topple the $225 level for the first time since early February. 

    Analysts are mostly bullish on the security. Of the 14 in coverage, 10 call it a "strong buy." Plus, the 12-month consensus price target of $255.58 is a 12.6% premium to current levels. 

    Meanwhile, calls are outnumbering puts on an overall basis, though there's been an uptick in bearish options activity of late. This is per Goldman Sachs' 10-day put/call volume ratio at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which sits higher than 92% of readings from the past year. 

    Now looks like an ideal time to get in on Goldman Sachs stock's next move with options, though. The equity's Schaeffer's Volatility Index (SVI) of 27% ranks in the 8th percentile of its 12-month range, meaning options traders are pricing in relatively low volatility expectations at the moment. 

     

    You Don’t Need 25 Alerts -- You Need ONE You Can Trust!

    That’s the idea behind Trade of the Week, Schaeffer’s newest trade alert.

    Every Monday morning before the opening bell, you’ll receive a single, expertly researched trade recommendation -- built from the same proprietary research we’ve been using for over four decades.

    It’s not just a signal.

    It’s a plan designed for traders who are tired of jumping from alert to alert without ever finding their edge.

    No juggling alerts. No switching directions mid-week. Just one clear, expertly researched trade idea -- delivered before the market even opens.

    👉 JOIN RIGHT NOW FOR JUST $1 TO GET THE NEXT TRADE!