Goldman Sachs: $1.7 Trillion Buyback Wave Will Buffer the Impact of Surging Equity Supply

Odaily reports: Goldman Sachs stated that U.S. companies are expected to return a record $1.7 trillion to shareholders through stock buybacks by 2027, which could shield market valuations from dilution caused by equity issuance near historic highs. The investment bank expects the supply of publicly traded shares to rise significantly next year. While such increases typically weigh on stock prices, Goldman Sachs added that corporate buybacks, combined with strong demand from households and foreign investors, should be sufficient to absorb the additional shares. (Sina Finance)