Dividends and Earnings

The relationship between dividends and earnings on the S&P 500 Index.

U.S. companies are showing the kind of confidence that points toward a rebound in earnings growth.  Payouts increased 7.5% on a per-share basis from Sept. 30 through Friday even though profit only rose 1.1%, according to data compiled by Bloomberg.

So far, companies seem confident in their future earnings potential.