Goldman Sachs (GS)

Different businesses. LLY is a big play in GLP-1 drugs. How will pills effect the injections business? LLY has done a good job of navigating these new pills. GS enjoys increased stock market and IPO businesses. He prefers LLY, which is tied to a secular growth trend, but GS' good times in capturing revenue in this cycle will end.

Is his largest position. GS trades in line with tech IPOs. Still likes it. Is the best-known of the U.S. financials.

They just raised their dividend from $4.50 to $5, 11% higher.

Mergers are increasing, and banks like GS makes advisory fees from them. Also, the banks have been rallying since oil slumped, and will benefit further from rising interest rates, which appears will happen later this year. Plus, hyperscalers may need to keep borrowing money to keep competing with each other.

Analysts when they made their estimates didn't count on GS winning the SpaceX and openAI IPOs.

A dividend pick. Dividend are one of the best, easiest ways to hedge against inflation. This is a dividend grower, increasing each year by nearly 22% annually over the past 5 years. The total return over 3 years is 248%.

The IPO market is about to explode, benefiting GS, which hit $1,000 a share today. Also, trading and investment banking are also doing quite well. Wealth management is a kicker. Also, the big banks continue to buy back shares.

They will be the big winner in IPOs coming down the line.

His largest holding. They just reported a good quarter. Management is superb. The best way to play the investment banking cycle. 

He owns a large position. They report Monday. Unless something happens in the Middle East to spike the price of oil, he expects good numbers from GS. They manage risk well and this is a troubled market.

They will benefit from M&A, and Washington is pro-merger.

Likes US large banks -- will continue to benefit from deregulation and a sturdy economy. Citi is the most technically sound of the group.

He sold due to concerns in private credit. GS has exposure to asset management, debt underwriting, and lending. Is up 35% the past year. Doesn't want exposure if the bad news continues. Is a cautious move to add more cash.