From Financial Modeling Prep: 2025-03-11 03:15:07

Goldman Sachs analysts predict S&P 500 dividends will grow by 6% in 2025 despite a recent 6% selloff. This growth represents a payout ratio of 30% and dividends around $80 per share. Dividend pricing has remained stable amid market volatility, with dividends not reflecting post-election exuberance.

Earnings growth expectations are tied to dividend forecasts. S&P 500 EPS grew by 10% in 2024, with a projected 9% growth for 2025. Upside risks include potential excess capital returns from the Financials sector, boosting dividend growth to 8-9%. Downside risks involve slowing economic growth, impacting GDP forecasts.

Goldman Sachs’ projections are based on strong corporate earnings and a stable dividend environment, contrasting with cautious market expectations. Despite recent equity selloffs, dividends’ resilience offers attractive yield opportunities in the S&P 500. Uncertainties persist, but dividend stability may anchor investors in a volatile market.



Read more at Financial Modeling Prep:: Goldman Sachs Projects 6% Dividend Growth for the …