GOLDMAN SACHS: These 14 companies are set to return the most cash to investors this year

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GOLDMAN SACHS: These 14 companies are set to return the most cash to investors this year

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Reuters / Darren Whiteside

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  • In times of market turbulence, it can be helpful for investors to pinpoint stocks that will offer reliable cash distributions.
  • Goldman Sachs has identified the 14 S&P 500 companies poised to return the most cash to shareholders via buybacks and dividends.

For investors uncertain about the future of the market, it can be comforting - if not downright lucrative - to seek out companies that can be counted upon for regular cash payouts.

That means firms offering both dividends and buybacks, and there's serious value in knowing which ones are the most likely to engage in either activity.

That's where Goldman Sachs comes in.

The firm maintains an index of S&P 500 companies spanning nine sectors that have offered the highest yield from share repurchases and dividend payments over the past 12 months.

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It's worth noting, however, that while investing in companies for their cash distributions is a relatively risk-averse way to grind out returns, it's not necessarily a strategy that will keep pace with the broader market. It can actually struggle in a rising-interest-rate environment as bond yields get more competitive, says Goldman.

Still, knowing which companies fall into the high-cash-return category can be valuable when constructing a portfolio. So without further ado, here are the 14 companies best positioned to return the most money to shareholders going forward:

Get the latest Goldman Sachs stock price here.

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14. Seagate Technology

14. Seagate Technology

Ticker: STX

Industry: Information technology

Market cap: $17 billion

Year-to-date return: 45%

Trailing 12-month yield: 11.6%

13. Humana

13. Humana

Ticker: HUM

Industry: Healthcare

Market cap: $41 billion

Year-to-date return: 19%

Trailing 12-month yield: 11.8%

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12. XL Group

12. XL Group

Ticker: XL

Industry: Financials

Market cap: $14 billion

Year-to-date return: 59%

Trailing 12-month yield: 12.2%

11. TransDigm

11. TransDigm

Ticker: TDG

Industry: Industrials

Market cap: $17 billion

Year-to-date return: 20%

Trailing 12-month yield: 12.4%

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10. General Motors

10. General Motors

Ticker: GM

Industry: Consumer discretionary

Market cap: $53 billion

Year-to-date return: 7%

Trailing 12-month yield: 12.9%

9. Navient

9. Navient

Ticker: NAVI

Industry: Financials

Market cap: $3 billion

Year-to-date return: 1%

Trailing 12-month yield: 12.9%

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8. Boeing

8. Boeing

Ticker: BA

Industry: Industrials

Market cap: $200 billion

Year-to-date return: 16%

Trailing 12-month yield: 13.2%

7. Lam Research

7. Lam Research

Ticker: LRCX

Industry: Information technology

Market cap: $31 billion

Year-to-date return: 4%

Trailing 12-month yield: 13.4%

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6. Corning

6. Corning

Ticker: GLW

Industry: Information technology

Market cap: $24 billion

Year-to-date return: 13%

Trailing 12-month yield: 13.8%

5. IQVIA Holdings

5. IQVIA Holdings

Ticker: IQV

Industry: Healthcare

Market cap: $20 billion

Year-to-date return: 0%

Trailing 12-month yield: 14.6%

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4. Charter Communications

4. Charter Communications

Ticker: CHTR

Industry: Consumer discretionary

Market cap: $75 billion

Year-to-date return: 6%

Trailing 12-month yield: 15.1%

3. Sealed Air

3. Sealed Air

Ticker: SEE

Industry: Materials

Market cap: $7 billion

Year-to-date return: 10%

Trailing 12-month yield: 16.5%

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2. Best Buy

2. Best Buy

Ticker: BBY

Industry: Consumer discretionary

Market cap: $21 billion

Year-to-date return: 8%

Trailing 12-month yield: 17.4%

1. PulteGroup

1. PulteGroup

Ticker: PHM

Industry: Consumer discretionary

Market cap: $8 billion

Year-to-date return: 13%

Trailing 12-month yield: 17.5%

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