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Goldman Sachs Projects $600B in US Equity Issuance in 2027
Goldman Sachs, a prominent investment bank, has projected that US equity issuance will reach $600 billion in 2027. This forecast follows a record-breaking year in 2026 where companies have already raised approximately $431 billion through equity offerings. The report highlights two main pieces of the projection: $175 billion from initial public offerings (IPOs) and $425 billion from follow-on offerings, convertible securities, and special purpose acquisition companies (SPACs). Goldman Sachs expects the major cloud and hyperscale companies, including Amazon, Alphabet, Meta, Microsoft, and Oracle, to spend $1.2 trillion on capital expenditures in 2027. The bank predicts that sustained investor demand and buyback activity will help absorb the additional volume, keeping the broader bull market moving. However, the report also notes that if either buyback activity or investor appetite weakens, the market could face a heavier load with the potential for $1.7 trillion in shares becoming tradable in 2027 as lock-up restrictions expire.