JPM vs GS

For growth investors, The Goldman Sachs Group, Inc.

(GS) is the stronger pick with 8. 9% revenue growth year-over-year, versus 7. 3% for JPMorgan Chase & Co. (JPM). JPMorgan Chase & Co. (JPM) offers the better valuation at 16. 7x trailing P/E (13. 5x forward), making it the more compelling value choice. Analysts rate JPMorgan Chase & Co. (JPM) a "Buy" — based on 61 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, JPMorgan Chase & Co.

(JPM) is the cheapest at 16. 7x versus The Goldman Sachs Group, Inc. at 16. 9x. On forward P/E, The Goldman Sachs Group, Inc. is actually cheaper at 12. 1x — notably different from the trailing picture, reflecting expected earnings growth. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: JPMorgan Chase & Co. wins at 0. 77x versus The Goldman Sachs Group, Inc. 's 0. 77x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, The Goldman Sachs Group, Inc.

(GS) delivered a total return of +127. 0%, compared to +112. 3% for JPMorgan Chase & Co. (JPM). Over 10 years, the gap is even starker: JPM returned +435. 1% versus GS's +421. 9%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), JPMorgan Chase & Co.

(JPM) is the lower-risk stock at 0. 80β versus The Goldman Sachs Group, Inc. 's 1. 67β — meaning GS is approximately 109% more volatile than JPM relative to the S&P 500. On balance sheet safety, JPMorgan Chase & Co. (JPM) carries a lower debt/equity ratio of 3% versus 5% for The Goldman Sachs Group, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), The Goldman Sachs Group, Inc.

(GS) is pulling ahead at 8. 9% versus 7. 3% for JPMorgan Chase & Co. (JPM). On earnings-per-share growth, the picture is similar: The Goldman Sachs Group, Inc. grew EPS 26. 6% year-over-year, compared to 1. 5% for JPMorgan Chase & Co.. Over a 3-year CAGR, JPM leads at 12. 5% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

JPMorgan Chase & Co.

(JPM) is the more profitable company, earning 31. 4% net margin versus 29. 5% for The Goldman Sachs Group, Inc. — meaning it keeps 31. 4% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: JPM leads at 39. 9% versus 37. 5% for GS. At the gross margin level — before operating expenses — GS leads at 101. 9%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, JPMorgan Chase & Co. (JPM) is the more undervalued stock at a PEG of 0. 77x versus The Goldman Sachs Group, Inc. 's 0. 77x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, The Goldman Sachs Group, Inc. (GS) trades at 12. 1x forward P/E versus 13. 5x for JPMorgan Chase & Co. — 1. 4x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for GS: 30. 6% to $1130. 75.

All stocks in this comparison pay dividends.

The Goldman Sachs Group, Inc. (GS) offers the highest yield at 1. 9%, versus 1. 8% for JPMorgan Chase & Co. (JPM).

For long-horizon retirement investors, JPMorgan Chase & Co.

(JPM) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 80), 1. 8% yield, +435. 1% 10Y return). The Goldman Sachs Group, Inc. (GS) carries a higher beta of 1. 67 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (JPM: +435. 1%, GS: +421. 9%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Financial Services sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.