America’s largest companies are fueling inequality, says new study
CNN
US-based corporations are making more money than ever before, and they’re putting that money right back into shareholders’ pockets.
A version of this story first appeared in CNN Business’ Before the Bell newsletter. Not a subscriber? You can sign up right here. You can listen to an audio version of the newsletter by clicking the same link. US-based corporations are making more money than ever before, and they’re putting that money right back into shareholders’ pockets. One of the reasons the S&P 500 is up more than 10% so far this year is because investors expect dividends — a redistribution of profits from a company to its shareholders — to get bigger. Dividend payouts to shareholders by companies in the S&P 500 reached a new record in 2023, and that number is projected to grow in 2024, according to data from the CME Group. What’s happening: The 200 largest publicly traded companies in the United States saw their combined net profits soar to $1.25 trillion in 2022, a gain of 63% from 2018. About 90%, or $1.1 trillion, of that profit went to shareholders through stock buybacks and dividend payments, according to new research from anti-poverty organization Oxfam International. At the same time, the study found, only 10 of those 200 companies have made public statements in support of paying a living wage.
OpenAI CEO Sam Altman, SoftBank CEO Masayoshi Son and Chairman of Oracle appeared is set to appear at the White House Tuesday afternoon alongside President Donald Trump and other tech CEOs to announce a massive private sector investment in artificial intelligence infrastructure in the United States., a source familiar with the discussions confirmed to CNN.