Goldman Sachs, Wells Fargo, Bank of America stock move up after stress test results

June 27, 2025 02:17 PM PDT | By EODHD

Google News:

Goldman Sachs, Wells Fargo, Bank of America stock move up after stress test results — Image source: Kalkine Media

Recent News

Maximus Inc (NYSE:MMS) Gathers Momentum on NYSE Composite

Karat Packaging Inc (NASDAQ:KRT) Sees Changes in Institutional Nasdaq...

Alta Equipment Group (NYSE:ALTG) Group Results Reflect Industrial Sect...

Franklin Resources Inc (NYSE:BEN) Ratings Shift Across Wall Street NYS...

[Bank bankruptcy and vulnerability of the entire financial system. Bank fall. Stress test. Economy collapse. Panic among investors.

Measures to save the situation. Instability in the banking system.] Andrii Yalanskyi Wells Fargo (NYSE:WFC [https://seekingalpha.com/symbol/WFC]), Goldman Sachs (NYSE:GS [https://seekingalpha.com/symbol/GS]) and Bank of America (NYSE:BAC [https://seekingalpha.com/symbol/BAC]) stocks each moved up by more than 1% in Friday after-hours trading after the Federal Reserve released the results of the 2025 Dodd-Frank stress tests. Goldman Sachs increased 2.8%, Wells Fargo (NYSE:WFC [https://seekingalpha.com/symbol/WFC]) rose 1.9%, and Bank of America (NYSE:BAC [https://seekingalpha.com/symbol/BAC]) gained 1.5%. All 22 banks tested [https://seekingalpha.com/news/4463405-all-22-banks-pass-feds-2025-stress-test-on-capital-levels] passed the annual stress test that analyzes their books for how they'd weather a hypothetical severe recession. This year's scenario wasn't as severe as 2024's.

In the stress test results, Goldman Sachs' (NYSE:GS [https://seekingalpha.com/symbol/GS]) common equity tier 1 capital ratio fell as low as 12.3%, but ended the test period at 16.3% in the severely adverse scenario, actually higher than its 15.0% CET1 ratio in Q4 2024. Wells Fargo's (NYSE:WFC [https://seekingalpha.com/symbol/WFC]) minimum CET1 ratio was 10.1%, ending ratio was 10.4% and actual Q4 2024 ratio was 11.1%. Bank of America (NYSE:BAC [https://seekingalpha.com/symbol/BAC]) saw its CET1 ratio fall as low as 10.2% in the hypothetical recession and ended the test period at 10.7%, compared with its Q4 CET1 capital ratio of 11.9%. MORE ON WELLS FARGO, GOLDMAN SACHS, ETC. * Goldman Sachs: This Blue Chip's Wild Price Moves Remind Us How Stock Ratings Mislead [https://seekingalpha.com/article/4796845-goldman-sachs-blue-chip-wild-price-moves-remind-us-how-stock-ratings-mislead] * Wells Fargo Is A Compliance-Constrained Compounder Now Set Free [https://seekingalpha.com/article/4796073-wells-fargo-is-a-compliance-constrained-compounder-now-set-free] * Goldman Sachs: Resilient Amid Macro Headwinds [https://seekingalpha.com/article/4795646-goldman-sachs-resilient-amid-macro-headwinds] * Bank of America, Cisco snap consecutive trading sessions of gain [https://seekingalpha.com/news/4463380-bank-of-america-cisco-snap-consecutive-trading-sessions-of-gain]

Disclaimer

The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations, and video (Content) is a service of Kalkine Media LLC., having Delaware File No. 4697309 (“Kalkine Media, we or us”) and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media.
The content published on Kalkine Media also includes feeds sourced from third-party providers. Kalkine does not assert any ownership rights over the content provided by these third-party sources. The inclusion of such feeds on the Website is for informational purposes only. Kalkine does not guarantee the accuracy, completeness, or reliability of the content obtained from third-party feeds. Furthermore, Kalkine Media shall not be held liable for any errors, omissions, or inaccuracies in the content obtained from third-party feeds, nor for any damages or losses arising from the use of such content. Some of the images/music that may be used on this website are copyrighted to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures/music displayed/used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source (public domain/CC0 status) to where it was found and indicated it, as necessary.
This disclaimer is subject to change without notice. Users are advised to review this disclaimer periodically for any updates or modifications.