Earnings growth is set to peter out — but not the bull market, says Goldman Sachs. Here’s what the firm recommends.
Published . Updated .
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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.
Directly affected
- GS Goldman Sachs Group-0.7% 30d
Named in this report.
Indirectly affected
- DIA SPDR Dow Jones Industrial Average ETF-0.4% 14d
SPDR Dow Jones Industrial Average ETF: it is a broad US stock-market fund. Linked by “bull market” (the broad US market) in this story.
- QQQ Invesco QQQ-9.8% 30d
Invesco QQQ: it is a broad US stock-market fund. Linked by “bull market” (the broad US market) in this story.
- XLF Financial Select Sector SPDR+0.4% 17d
Financial Select Sector SPDR holds the financials sector that The Goldman Sachs Group belongs to, so it often moves with news about it.
- MS Morgan Stanley-5.2% 30d
Morgan Stanley is a peer of The Goldman Sachs Group in security brokers, dealers and flotation companies; rivals often move on the same news.
- BLK BlackRock+15.1% 30d
BlackRock is a peer of The Goldman Sachs Group in security brokers, dealers and flotation companies; rivals often move on the same news.
- SCHW The Charles Schwab
The Charles Schwab is a peer of The Goldman Sachs Group in security brokers, dealers and flotation companies; rivals often move on the same news.
- IBKR Interactive Brokers Group-3.9% 30d
Interactive Brokers Group is a peer of The Goldman Sachs Group in security brokers, dealers and flotation companies; rivals often move on the same news.
- HOOD Robinhood Markets-23.9% 30d
Robinhood Markets is a peer of The Goldman Sachs Group in security brokers, dealers and flotation companies; rivals often move on the same news.
Price reaction, T-5 to T+3
| Ticker | T-5 | T-3 | T-1 | T0 | T+1 | T+2 | T+3 |
|---|---|---|---|---|---|---|---|
| GS | -5.21% | -0.36% | base | after close | after close | after close | after close |
| DIA | -1.96% | -0.13% | base | after close | after close | after close | after close |
| QQQ | -4.63% | -1.94% | base | after close | after close | after close | after close |
| XLF | -1.77% | +0.15% | base | after close | after close | after close | after close |
| MS | -4.12% | -0.87% | base | after close | after close | after close | after close |
| BLK | -3.11% | +0.43% | base | after close | after close | after close | after close |
| SCHW | -0.26% | +1.42% | base | after close | after close | after close | after close |
| IBKR | -6.81% | -4.66% | base | after close | after close | after close | after close |
| HOOD | -0.56% | -0.02% | base | after close | after close | after close | after close |
Closing-price change versus T-1, the last close before the story. T0 to T+3 fill in after each market close. Prices: Alpaca IEX.
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 be…
Source: MarketWatch
This story
| Company | When | Move | Status |
|---|---|---|---|
| BLK | three days earlier | +0.43% | final price |
| BLK | five days earlier | -3.11% | final price |
| DIA | three days earlier | -0.13% | final price |
| DIA | five days earlier | -1.96% | final price |
| GS | three days earlier | -0.36% | final price |
| GS | five days earlier | -5.21% | final price |
| HOOD | three days earlier | -0.02% | final price |
| HOOD | five days earlier | -0.56% | final price |
| IBKR | three days earlier | -4.66% | final price |
| IBKR | five days earlier | -6.81% | final price |
| MS | three days earlier | -0.87% | final price |
| MS | five days earlier | -4.12% | final price |
| QQQ | three days earlier | -1.94% | final price |
| QQQ | five days earlier | -4.63% | final price |
| SCHW | three days earlier | +1.42% | final price |
| SCHW | five days earlier | -0.26% | final price |
| XLF | three days earlier | +0.15% | final price |
| XLF | five days earlier | -1.77% | final price |
Trades by members of Congress and officials in the stocks in this story
- Rep. Maria Elvira Salazar sold Goldman Sachs Group (GS), worth $1,001 - $15,000 on 24 Sep 2026. That is 50 days before publication. Filed 7 Oct 2026. View the filing.
- Rep. Michael Rulli bought Goldman Sachs Group (GS), worth $1,001 - $15,000 on 3 Sep 2026. That is 71 days before publication. Filed 2 Oct 2026. View the filing.
- Rep. Gilbert Cisneros bought Goldman Sachs Group (GS), worth $1,001 - $15,000 on 26 Aug 2026. That is 79 days before publication. Filed 10 Sep 2026. View the filing.
- Donald J Trump, an executive branch official, sold Interactive Brokers Group (IBKR), worth $50,001 - $100,000 on 21 Aug 2026. That is 84 days before publication. Filed 8 Oct 2026. View the filing.
Public disclosure filings, not a recommendation. The filing link is the source document. News use of these reports still sits under 5 U.S.C. § 13107(c).
This story
12 out of 100
“Earnings growth is set to peter out — but not the bull market, says Goldman Sachs. Here’s what the firm recommends.” scores 12 out of 100. The score uses 1 sources.