Percentage Contribution of Returns Between Dividends, Earnings and Valuation Earnings, not multiple expansion, have driven global equities since 2025. That makes the rally more durable and less dependent on falling rates or a renewed surge in risk appetite. Image: Goldman Sachs Global Investment Research
Dividends as % of Capital Expenditures The AI and infrastructure boom has pushed capex higher, but dividends have grown faster. The dividends-to-capex ratio has risen from 20% in the late 1990s to 50% today. U.S. equities remain an income-oriented market. Image: TS Lombard
Percent of S&P 500 Stocks with Dividends > 10-Year Treasury Yield The income trade has reversed. In July 2016, 63.4% of S&P 500 stocks yielded more than the 10-year U.S. Treasury. Today, fewer than 4.5% do, leaving Treasuries with higher yields than almost every blue-chip stock. Image: Ned Davis Research
Tech: Capex and Buyback & Dividends Tech capex has now overtaken buybacks and dividends. Are shareholders trading short-term pain for long-term gain? It only works if that spending delivers real returns. Image: Societe Generale Cross Asset Research
Buyback Aristocrats vs. Dividend Aristocrats Fueled by growth momentum and turbo‑charged buybacks, Buyback Aristocrats have left Dividend Aristocrats in the dust, as investors chase upside over income stability. Image: Goldman Sachs Global Investment Research
S&P 500 Dividend Yields vs. 10-Year Treasury Yields S&P 500 dividend yields are near historic lows, close to levels seen during the 2000 tech bubble, due to high valuations and companies favoring stock buybacks over dividends, challenging income-focused investors relying on dividends. Image: Deutsche Bank
S&P 500 Dividend Payers / Non-Payers Ratio Amidst 2025’s market volatility, dividend stocks emerge as a compelling investment, offering both steady income and growth potential while serving as a robust tool for portfolio diversification. Image: Ned Davis Research
U.S. Share Buybacks and Dividends Over the past 20 years, U.S. corporates have clearly favored buybacks over dividends, reflecting a shift towards prioritizing shareholder value through capital appreciation rather than regular income distributions. Image: BofA Global Research
Buybacks – Share of S&P 1500 Companies Paying a Dividend or Repurchasing Stock Over the years, the share of S&P 1500 companies engaging in share repurchases has surged. In 1995, only 3% participated, while in 2023, it reached 70%, greatly enhancing shareholder returns. Image: Goldman Sachs Global Investment Research
S&P 500 Dividend Yield and 10-Year Treasury Yield U.S. Treasuries may currently appear attractive compared to the S&P 500 dividend yield. Image: The Daily Shot
S&P 500 Index Dividend Yield vs. Nikkei 225 Index Dividend Yield Should income seekers consider investing in Japanase stocks? Image: Morgan Stanley Wealth Management