Goldman Strategists See More US Spinoffs With Companies Squeezed

US companies are set to continue spinning off business units this year in a push to boost margins and increase shareholder value, according to strategists at Goldman Sachs Group Inc.

US firms announced 44 new spinoffs last year and completed 20, including General Electric Co.’s carve out of its medical-equipment business and Intel Corp.’s spinoff of self-driving technology business Mobileye. Overall, the number of announced spinoffs in the US surged by 33% in 2022, a trend that strategists including David Kostin and Jenny Ma expect to continue.

“Below-trend economic growth coupled with investor focus on corporate profitability means managements ...