Jim Cramer’s Charitable Trust plans to purchase 25 shares of Goldman Sachs at approximately $583.70 each, increasing its total holdings to 123 shares and elevating its weight in the portfolio to 2%. This decision comes after UBS downgraded Goldman Sachs from a “buy” to “neutral,” though it raised the price target from $600 to $610. The downgrade stems from concerns about the bank’s valuation, despite an 11% increase in earnings estimates for 2025 and 14% for 2026. Analysts noted that the asset and wealth management divisions may not drive significant earnings growth. Conversely, Barclays has raised its price target for Goldman Sachs to $713, maintaining an “overweight” rating, citing a robust economic environment and easing regulatory pressures that could enhance bank valuations. Cramer’s approach aligns with Barclays’, viewing the UBS downgrade as an opportunity to deepen investments in Goldman Sachs without a premium. As part of the CNBC Investing Club, Cramer alerts subscribers before making trades, waiting specific durations to execute after alerts. However, there is no guarantee of profit or specific outcomes from these investments.
