Top stock market strategists at JPMorgan have issued a bullish price forecast for the S&P 500 (^GSPC), signaling strong belief in the 2026 stock market. Indeed, the firm’s equity strategy team, led by Dubravko Lakos-Bujas, set a year-end price target of 7,500 for the index in 2026. The S&P 500 is currently showing a bullish momentum, with its revenue on track to hit +8.4% YoY in Q3. At this rate, the corporate earnings outlook looks prosperous, with the S&P 500 breaching anticipated value marks in the near future.
“Despite AI bubble and valuation concerns, we see current elevated multiples correctly anticipating above-trend earnings growth, an AI capex boom, rising shareholder payouts, and easier fiscal policy (i.e. [One Big Beautiful Bill Act]),” the firm wrote in a note to clients published Tuesday. JPMorgan went on to add that if the Federal Reserve continues cutting interest rates, at least two more cuts, the S&P 500 could surpass 8,000.
Another bullish S&P 500 price prediction this week came from Deutsche Bank. The bank is predicting the index to also breach the 8000 mark. Deutsche Bank cites AI-driven gains bolstering corporate earnings, which can usher in a golden new era for the S&P 500 to bank on. The bank was also quick to forecast how S&P earnings per share may end up hitting $320 per share. “Rapid AI investment and adoption will continue to dominate market sentiment.” Deutsche Bank strategists said in their 2026 global outlook note. “We see (U.S.) discretionary investor positioning as a source of potential market upside.” Deutsche Bank analysts wrote.
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Furthermore, Morgan Stanley also gave bullish S&P 500 targets for 2026 earlier this month, stating how the index can reach a new high of 7800 next year. The index closed Tuesday’s trading session at 6,765, and at press time is up 58 points to 6,824.47.