Buybacks and S&P 500 Use of Cash

Buybacks and S&P 500 Use of Cash S&P 500 companies are showing stronger growth in capital expenditure compared to share buybacks, signaling a shift in corporate spending priorities. Image: Goldman Sachs Global Investment Research

Stock Buybacks vs. S&P 500

Stock Buybacks vs. S&P 500 Stock buybacks strongly correlate with S&P 500 performance by improving financial metrics, boosting confidence, and driving stock prices higher. In 2025, companies are expected to hit $1 trillion in share repurchases. Image: Real Investment Advice

S&P 500 Earnings and Gross Buybacks

S&P 500 Earnings and Gross Buybacks With U.S. corporate earnings on the rise, share buybacks in 2025 are expected to exceed $1 trillion. Image: Deutsche Bank Asset Allocation

S&P 500 Sectors Announced Buybacks (Last 3 Months)

S&P 500 Sectors Announced Buybacks (Last 3 Months) Over the last three months, announced stock buybacks in the U.S. market have been primarily driven by the Healthcare, Energy, and Financial sectors. Image: Deutsche Bank Asset Allocation

U.S. Share Buyback Authorization Announcements

U.S. Share Buyback Authorization Announcements Record-breaking share buyback authorizations among U.S. companies indicate a robust corporate outlook, serving as a strategic tool to optimize capital structure and reward investors. Image: Goldman Sachs Global Investment Research

Buybacks

Buybacks Over the past two decades, share repurchase programs have become increasingly popular among U.S. corporations, with the trend showing no signs of slowing down. Image: Goldman Sachs Global Investment Research

Corporate Clients’ 4-Week Average Buybacks vs. S&P 500 Total Quarterly Buybacks

Corporate Clients’ 4-Week Average Buybacks vs. S&P 500 Total Quarterly Buybacks BofA’s corporate clients are significantly increasing stock buybacks, defying recession fears and indicating a positive market outlook, suggesting these companies expect ongoing growth and stability in the future. Image: BofA Securities

Corporate Clients – Buybacks (4-Week Average)

Corporate Clients – Buybacks (4-Week Average) Strong buyback activity from BofA’s corporate clients, exceeding historical averages, is a positive sign for investors, reflecting confidence in future growth prospects. Image: BofA Securities

Buybacks – S&P 500 Companies in Blackout Period

Buybacks – S&P 500 Companies in Blackout Period Once the blackout period for stock buybacks ends, many U.S. companies are likely to resume buyback activities, which could substantially influence both stock performance and market dynamics. Image: Deutsche Bank Asset Allocation

Corporate Client Buybacks as a % of S&P 500 Market Capitalization

Corporate Client Buybacks as a % of S&P 500 Market Capitalization BofA’s corporate clients are currently engaging in significant stock buyback activities, marking an all-time high. This trend is generally perceived as a positive indicator for the broader market. Image: BofA Securities

Buybacks – S&P 500 Cash as % of Total Asset

Buybacks – S&P 500 Cash as % of Total Asset As S&P 500 companies’ cash reserves decline, Bank of America expects buybacks to peak soon. Image: BofA US Equity & Quant Strategy