is it time for goldman to hand off their longs to the bagholders?
From David Kostin
We are raising both our 2011 and 2012 S&P 500 earnings estimates by $2 per share to $96 and $106, reflecting annual growth of 14% and 11%, respectively. We boost our year-end 2011 target to 1500 representing a potential total return of 21% including the 2% dividend yield. Our 3- and 6-month interim targets are 1325 and 1400, respectively. A re-accelerating US economy will drive 8% sales growth and explains our pro-cyclical recommendations. Focus on stocks with high beta to both the US economy and the stock market and firms with rising return on equity (ROE).
From David Kostin
We are raising both our 2011 and 2012 S&P 500 earnings estimates by $2 per share to $96 and $106, reflecting annual growth of 14% and 11%, respectively. We boost our year-end 2011 target to 1500 representing a potential total return of 21% including the 2% dividend yield. Our 3- and 6-month interim targets are 1325 and 1400, respectively. A re-accelerating US economy will drive 8% sales growth and explains our pro-cyclical recommendations. Focus on stocks with high beta to both the US economy and the stock market and firms with rising return on equity (ROE).