With their well-entrenched businesses, high sales growth, and strong balance sheets he believes they will continue to outperform next year.
Thankfully, Kostin wrote that "equity valuations appear less stretched in absolute and relative terms after adjusting for record high market concentration."
"In a recession, we expect the S&P 500 would end 2024 at 3700 (-18%)," Kostin wrote.
First, Kostin wrote investors should "own growth stocks with high returns on capital that typically outperform given stable economic growth and interest rates."
To that end, Kostin shared Goldman Sachs' basket of 50 stocks the analysts there believe are the highest quality on the market.
Persons:
Goldman Sachs, David Kostin, Kostin isn't, Kostin, Altman
Organizations:
Business