Companies that generate the most sales with the fewest employees and assets should be better protected from inflation and rising wages, according to Goldman Sachs.
The Wall Street firm told clients that equities from each S&P 500 sector with the highest ratios of sales per assets and sales per employees have outperformed the broader by an annual average of 15 percentage points during the past decade.
The group has lagged for most of 2021 as investors rotated into value stocks amid the economic recovery from the pandemic. But Goldman said in the past few weeks it has started to see a reemergence in the group.
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