Major Banks sector potential in 2026

u/Merchant1010 · Reddit — r/stocks · January 05, 2026 at 13:06  | View on Reddit ↗
AI Summary

Original Reddit post

The author highlights net margin expansion at major bank stocks BAC, C, and GS ahead of January 2026 earnings and sees potential comeback in 2026.

BAC — LONG The author notes that Bank of America's net margin improved from 13.85% in 2024 to a 15.55% average in the first three quarters of 2025. This margin recovery after a 2023–2024 squeeze supports a potential comeback for major bank stocks in 2026. The upcoming Q4 2025 earnings report on January 14, 2026 is the concrete catalyst for further EPS beats.

BAC:
Net margin in 2024 = 13.85%
Net margin in 2025 by averaging till date = (Q1 '25(15.15%) + Q2 '25(14.24%) + Q3 '25(17.26%))/3 = 15.55%
Earnings report release date for Q4 '25 = Jan 14, 2026

C — LONG The author notes that Citigroup's net margin improved from 7.32% in 2024 to a 9.11% average in the first three quarters of 2025. This margin recovery after a 2023–2024 squeeze supports a potential comeback for major bank stocks in 2026. The upcoming Q4 2025 earnings report on January 14, 2026 is the concrete catalyst for further EPS beats.

C:
Net margin in 2024 = 7.32%
Net margin in 2025 by averaging till date = (Q1 '25(9.70%) + Q2 '25(9.17%) + Q3 '25(8.46%))/3 = 9.11%
Earnings report release date for Q4 '25 = Jan 14, 2026

GS — LONG The author notes that Goldman Sachs' net margin improved from 11.26% in 2024 to a 13.24% average in the first three quarters of 2025. This margin recovery after a 2023–2024 squeeze supports a potential comeback for major bank stocks in 2026. The upcoming Q4 2025 earnings report on January 15, 2026 is the concrete catalyst for further EPS beats.

GS:
Net margin in 2024 = 11.26%
Net margin in 2025 by averaging till date = (Q1 '25(15.07%) + Q2 '25(11.92%) + Q3 '25(12.74%))/3 = 13.24%
Earnings report release date for Q4 '25 = Jan 15, 2026

Full Post Text
Ideas
u/Merchant1010 Reddit r/stocks
Net margin expansion supports potential 2026 comeback for C.
The author notes that Citigroup's net margin improved from 7.32% in 2024 to a 9.11% average in the first three quarters of 2025. This margin recovery after a 2023–2024 squeeze supports a potential comeback for major bank stocks in 2026. The upcoming Q4 2025 earnings report on January 14, 2026 is the concrete catalyst for further EPS beats.
u/Merchant1010 Reddit r/stocks
Net margin expansion supports potential 2026 comeback for BAC.
The author notes that Bank of America's net margin improved from 13.85% in 2024 to a 15.55% average in the first three quarters of 2025. This margin recovery after a 2023–2024 squeeze supports a potential comeback for major bank stocks in 2026. The upcoming Q4 2025 earnings report on January 14, 2026 is the concrete catalyst for further EPS beats.
u/Merchant1010 Reddit r/stocks
Net margin expansion supports potential 2026 comeback for GS.
The author notes that Goldman Sachs' net margin improved from 11.26% in 2024 to a 13.24% average in the first three quarters of 2025. This margin recovery after a 2023–2024 squeeze supports a potential comeback for major bank stocks in 2026. The upcoming Q4 2025 earnings report on January 15, 2026 is the concrete catalyst for further EPS beats.
More from Reddit — r/stocks

This Reddit post, published January 05, 2026, features u/Merchant1010 discussing C, BAC, GS. 3 trade ideas extracted by AI with direction and confidence scoring.

Speakers: u/Merchant1010  · Tickers: C, BAC, GS