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Non-Tech : Goldman Sachs Group Inc. NYSE:GS
GS 792.91+0.3%Nov 5 3:59 PM EST

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From: Don Green2/21/2006 4:03:11 PM
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US broker stocks no longer cheap say two analysts
Tue Feb 21, 2006 3:50 PM ET
By Dan Wilchins

NEW YORK, Feb 21 (Reuters) - After an 18-month run-up in U.S. brokerage share prices, the sector is starting to look pricey and it may make sense to focus on stocks that might still have room to rise like Merrill Lynch & Co. Inc. (MER.N: Quote, Profile, Research), analysts at two firms said on Tuesday......................

Goldman Sachs Group Inc. (GS.N: Quote, Profile, Research) may also be worth looking at, Bernstein's Hintz said.

The investment bank has a higher price-to-book ratio of around 2.52, given the company's Tuesday share price of around $143.80 and book value as of November of $57.02 but the company has a big portfolio of private equity and real estate investments, and could realize gains in those areas this year.

Shares of both Merrill Lynch and Goldman Sachs have risen about 30 percent over the last year, much less than companies like Lehman.

The NASD fined Hintz and Bernstein a combined $550,000 earlier this month for stock trading activity that the regulator said violated conflict-of-interest rules. Hintz and Bernstein neither admitted nor denied the allegations.

yahoo.reuters.com
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