Survey Highlights Include:
- Outlook on M&A Optimism and Pessimism
33% of respondents were positive about deal-making in the U.S. (down from 65 percent in 2018).
36% were neutral and 32% were negative. General U.S. economic conditions was the greatest changing driver of U.S. M&A activity this year, ahead of availability of capital, the top choice in the last six surveys. Financial market performance also went up as a driver.
- Concerns About the Broader Economy
What respondents think about the broader economy closely resembles what they think about the future of M&A. 38% were positive, 34% were neutral and 28% were negative.
- Political Uncertainty, China Top of Mind
The top two threats to M&A activity were trade tensions with China and U.S. political uncertainty. But, respondents expect U.S. dealmakers to focus on China for M&A activity, despite ongoing trade tensions.
- Shape of Deals to Come
Sentiment about M&A activity involving privately owned businesses is fairly strong, with 58% expecting it to increase in the next year (but down from 82% in 2018).
- Industries to Watch
Automotive was the first for the second year in a row and health care moved up two spots from 2018.
To view the full survey and results, click here.