Goldman Sachs strategists have signaled a modest upside for European stocks, even as the market continues to show strong performance forecasts for 2025. In a recent note, Guillaume Jaisson and his colleagues highlighted that while Europe now trades at a forward P\/E of 14.2x\u2014slightly above historical averages\u2014it still commands a larger-than-average discount relative to the U.S. market.<\/p>\n\n\n\n
The report emphasizes that domestic and cyclical sectors remain relatively inexpensive given their profitability, and there is considerable potential for earnings-per-share growth. The team expects EPS to expand at a rate exceeding their current estimates of 3-4% per year over the 2025-2027 period.<\/p>\n\n\n\n
However, the strategists also outlined several downside risks, including declining U.S. growth, potential legislative obstacles to fiscal spending, and rising European bond yields. Despite these challenges, Goldman Sachs maintains a long position on stocks tied to defense and fiscal infrastructure, underscoring their belief that investments in these areas will benefit from continued fiscal support and long-term growth trends.<\/p>\n","protected":false},"excerpt":{"rendered":"
Goldman Sachs strategists have signaled a modest upside for European stocks, even as the market continues to show strong performance forecasts for 2025. In a recent note, Guillaume Jaisson and his colleagues highlighted that while Europe now trades at a forward P\/E of 14.2x\u2014slightly above historical averages\u2014it still commands a larger-than-average discount relative to the …<\/p>\n","protected":false},"author":9,"featured_media":70012,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[37,36],"tags":[7211,6877,6928,6882],"class_list":["post-112544","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-forex-markets","category-market-updates","tag-currencies","tag-dollar","tag-euro","tag-forex"],"_links":{"self":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/112544","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/comments?post=112544"}],"version-history":[{"count":1,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/112544\/revisions"}],"predecessor-version":[{"id":112545,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/112544\/revisions\/112545"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media\/70012"}],"wp:attachment":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media?parent=112544"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/categories?post=112544"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/tags?post=112544"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}