This article is being republished as part of our daily reproduction of WSJ.com articles that also appeared in the USA print edition of The Wall Street Journal (December 30, 2017).
On Friday, Goldman said in a filing with the Securities and Exchange Commission that the company estimates the new US tax law will hit its fourth-quarter results by $5 billion, primarily due to repatriation provisions.
The company did not say how changes in the tax law would affect its decisions on investments going forward, and did not immediately return messages left early Friday.
Goldman had been expected to post fourth-quarter net income of $2.07 billion, according to banking analysts polled by FactSet.
While it is still assessing the impact, Shell said based on third-quarter earnings the tax reforms will see it take a charge of 2 billion United States dollars (£1.5 billion) to 2.5 billion USA dollars (£1.9 billion).
The charge will swing Goldman to a quarterly loss and wipe out much of its full-year profit. But the overall effect is positive, the analyst said.
In other Goldman Sachs Group news, Director David A. Viniar sold 7,393 shares of the stock in a transaction on Friday, October 20th.
Goldman shares fell less than 1%. The firm had revenue of $8.33 billion for the quarter, compared to analyst estimates of $7.59 billion.
In a filing with the U.S. Securities and Exchange Commission, Goldman Sachs noted that about two-thirds of the $5 billion decrease in earnings is due to the repatriation tax. Goldman and other banks suffered huge losses during the financial crisis.
Exxon Mobil Corporation (XOM) Analysts See $0.99 EPS
Moreover, Barrett Asset Management Ltd Company has 3.32% invested in Exxon Mobil Corporation (NYSE: XOM ) for 557,066 shares. Seabridge Inv Ltd Liability Corporation reported 0.1% of its portfolio in Exxon Mobil Corporation (NYSE: XOM ).
The cost mostly comes from the billions of dollars in profits Goldman has stored overseas. After that one-time tax is paid, companies will be able to bring foreign-held money back to the USA without paying tax.
"It's a major windfall of cash", said Alethia Young, a Credit Suisse Group AG biotech analyst.
Having to write down US deferred tax assets will also contribute to its loss, Goldman said. Those assets will now have less value because of the lower corporate tax rate.
Barclays also announced its expected impact from the new tax laws, saying it is set to take a £1 billion charge to its 2017 accounts.
In the long run, though, Wall Street firms will be among the biggest beneficiaries of the new tax system.
Goldman declined to comment on whether the new regime would spur it to bring cash back to the US, noting only that the new headline corporate tax rate of 21% is lower than its typical 28 to 30% rate before the new law.
Banks are relatively high taxpayers because they get fewer of the breaks, such as for research and development, that are available to technology or pharmaceutical companies. Oppenheimer also issued estimates for Goldman Sachs Group's Q4 2017 earnings at $4.76 EPS.
Their average price target spell out an upbeat performance - a 6% and would give VIAB a market capitalization of almost $12.73B. Investors who are keeping close eye on the stock of QEP Resources, Inc. (NASDAQ:VIAB) on Tuesday, January 2 to "Hold" rating.
The ELN, founded by radical Roman Catholic priests in 1964, has sought peace with the government before but made little progress. In turn, the government agreed to improve protection for community leaders and conditions for about 450 jailed rebels.
According to the report, it is believed the three charged men are suspects in last week's murder of 18-year-old Aaron "A.J". A college football prospect is among three teenagers charged with the murder of another teenager in Alabama.
Medical personnel attended to him as he sat on the field, then took him to the medical tent on the sideline for evaluation. He played a key role in his team's victory, sacking Newton and forcing the game-deciding intentional grounding call.
Manchester City boss Pep Guardiola has identified Shakhtar Donetsk midfielder Fred as Fernandinho's long-term successor. Midfielder "Shakhtar" is focused on the second half of the season, but waiting for a call from Guardiola.
Following the transaction, the director now directly owns 2,161 shares in the company , valued at approximately $240,865.06. Endurance Wealth Management Incorporated has invested 0% in Varian Medical Systems, Inc . (NYSE:VAR) for 203,249 shares.
If you want in, better take your chance now, although the deadline is on January, 8th at 23:59 (Beijing Time). To sign for the beta testing, you have to download the Xiaomi MIUI Forum application from the Play Store.
Trump on Dossier, FBI, Clinton
Fusion GPS was hired by rivals of Trump within the Republican party and then by the Democrats to research Trump. But Mr Simpson's testimony before the Senate Judiciary Committee in August contradicted those claims.
Man Utd's Demetri Mitchell joins Hearts on loan
He has been a key man for Ricky Sbragia's Under-23 side this term, banging in four goals from the full-back position. Hearts are now fifth in the Scottish Premiership and are unbeaten in their last nine matches.
Kering to Spin Off Puma, Saying Goodbye to Sports Lifestyle
The number of Puma's publicly traded shares would be increased to approximately 55 percent, a statement from Kering said. The sports goods company will probably now be a candidate for inclusion in Germany's mid-cap index, Duplaix said.
Inc. NY Cuts Stake in Southwestern Energy (SWN)
Public Sector Pension Inv Board holds 0.73% of its portfolio in Microsoft Corporation (NASDAQ:MSFT) for 2.26M shares. The stock exchanged hands 41.28 Million shares versus average trading capacity of 18.28 Million shares.