Goldman Sachs Equities Revenue Hits All-Time Quarterly High

Goldman Sachs reported record-breaking revenue from its equities trading division for the first quarter ended March 31, 2026, driven by significant market volatility stemming from the war in Iran.

The firm’s equity trading intermediation and financing revenue rose 27% to a record $5.33 billion. This figure surpasses the previous quarterly record of $4.3 billion achieved in the final quarter of 2025 by more than $1 billion.

For the first quarter of 2026, The Goldman Sachs Group, Inc. Reported net revenues of $17.23 billion and net earnings of $5.63 billion. Diluted earnings per common share (EPS) stood at $17.55, while the annualized return on average common shareholders’ equity (ROE) was 19.8%.

Drivers of Financial Performance

The surge in equities trading was fueled by a market frenzy as investors reacted to the conflict in the Middle East, leading to widespread sell-offs sparked by inflationary fears.

Investment banking as a whole saw an increase of nearly 20% to $12.7 billion compared to the same period in 2025. This growth was primarily driven by a 48% surge in fees resulting from higher volumes of mergers and acquisitions (M&amp. A).

Wealth management also contributed to the growth, with revenue increasing 10% to $4 billion. The bank attributed this rise to higher management fees following an increase in assets under supervision.

Despite the strengths in equities and dealmaking, some sectors underperformed. Revenue from fixed income, currencies, and commodities traders was $4 billion, representing a decline of approximately 10% from the same quarter in the previous year and missing market expectations.

Market Reaction and Executive Outlook

Despite the strong financial results, Goldman Sachs shares fell 4.1% in pre-market trading on April 13, 2026, amid a broader market sell-off. The stock had previously risen over 85% in the preceding year to approximately $908.

Axel Rudolph, chief technical analyst at IG, suggested that investors were seeking exceptional results rather than just solid performance following the stock’s strong run. Rudolph noted that the results could be viewed as peak earnings following the volatility-fueled boom in trading.

Goldman Sachs delivered very strong performance for our shareholders this quarter, even as market conditions became more volatile. Our clients continue to depend on us for high quality execution and insights amid the broader uncertainty, and we remain confident in how we’ve positioned our businesses.

David Solomon, Chairman and CEO of Goldman Sachs

David Solomon emphasized that disciplined risk management remains core to the firm’s operations given the complex geopolitical landscape.

Regarding the M&A environment, Solomon stated in March 2026 that momentum in activity was expected to continue despite disruptions from the US-Israeli war on Iran. He indicated that changes in the regulatory environment have increased the likelihood of boards executing strategic transactions and scaling.

However, the bank issued a warning on April 13, 2026, noting that its backlog of fees had decreased slightly compared to the previous quarter.