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Goldman Sachs ‘strong candidate for a secular re-rating,’ says BofA

BofA analyst Ebrahim Poonawala views Goldman Sachs (GS) stock as “a strong candidate for a secular re-rating” given the ongoing shift to a structurally higher return on equity, what the firm views as the company’s ability to deliver “superior and durable” EPS growth and what it views as better than perceived resiliency in capital markets. The firm views Goldman as having “a strong combination of scale and flexibility” as well as an “attractive” risk/reward at current levels, adds the analyst, who has a Buy rating and $700 price target on the shares.

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