We look at corporate profitability in the United States, the euro zone and France, and we seek to determine whether corporate earnings are too high (which would make it possible to redistribute part of these earnings to employees). We therefore compare corporate earnings and: Corporate investment; Dividend payments; Share buybacks. If companies’ earnings exceed their investment and are used to pay excessive shareholder remuneration , we can conclude that they are very high. We see that: Shareholder remuneration is too high in the United States and to a lesser extent in the euro zone; It is normal in France.
Provider
Natixis
Natixis
Based across the world’s leading financial centers, Natixis CIB Research offers an integrated view of the markets. The team provides support to inform Natixis clients’ investment and hedging decisions across all asset classes.