Goldman Sachs Stock: 4 Experts Argue Pros and Cons of ‘Buying the Dip’ Amid Trump Tariff Drama

G. Brian Davis

Sat, Apr 12, 2025, 5:04 AM 4 min read

The stock market recently tumbled in the wake of President Donald Trump’s announcement of reciprocal tariffs. While most of the reciprocal tariffs have been temporarily paused, some stocks are still down. Take Goldman Sachs (GS), for example. As of April 10, 2025, it’s down 16% for the year.

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Thinking about scooping up some Goldman Sachs stock while it’s down from recent highs? Weigh these pros and cons before you buy.

Founded in 1869, Goldman Sachs has weathered wars, depressions, inflation and political crises. It’s still standing, and stronger than ever.

Financial advisor Evan Drury of U.S. Financial Services kept it simple: “Goldman Sachs has been a great company for the long term,” he said. And when share prices go “on sale” during a dip, that creates a bargain on a long-term investment.

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Matthew Frankel serves as a contributing analyst for The Motley Fool, specializing in bank stocks. He pointed out that Goldman Sachs’ revenue isn’t as dependent on the consumer economy as other banks.

“Market volatility can cause trading revenue to spike higher. Turbulent stock markets can cause equity trading activity to pick up, and when interest rates are unstable, fixed-income trading tends to spike as well,” he said. “For example, in the second quarter of 2020, when the initial wave of COVID-19 was going on, Goldman Sachs produced its highest equity trading revenue in over a decade.”

Over the last five years, through April 10, 2025, Goldman Sachs stock has seen gains of nearly 166%, while JPMorgan Chase (JPM) has seen gains of 121% and Bank of America (BAC) has gained just 44%.

“Goldman’s business is set up to be profitable in any type of market environment,” Frankel said. “And the historical results back this up.”

Market volatility and corrections aren’t all rainbows and butterflies for Goldman Sachs.

Frankel provided another recent example, showing more mixed results for the bank: “When interest rates were spiking in 2022, Goldman’s investment banking fees declined by 48% year-over-year due to declines in equity and debt underwriting, as well as in advisory services,” he said.