Earnings growth is set to peter out — but not the bull market, says Goldman Sachs. Here’s what the firm recommends.
Summary
Goldman Sachs predicts that major stock indices will experience a significant slowdown in earnings growth by 2027. However, the financial firm believes the current bull market will persist despite this upcoming deceleration. Analysts advise market participants to target businesses that maintain robust expansion, since high growth rates are expected to become increasingly rare.
Earnings growth is almost halving across major indices in 2027 but stocks have already discounted much of that deceleration. Goldman recommends investors focus closely on those companies still delivering strong growth – as strong growth becomes a scarce commodity.
Source: Read the full story at MarketWatch.com - Top Stories
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