S&P 500 in view of $5500? Target stock price increases one after another

According to Societe Generale strategists, the record upward momentum in US stocks is unstoppable against the backdrop of improvements in corporate performance forecasts and the AI boom.

The team led by Manish CabraThe year-end target for the S&P 500 was raised from 4750 to 5500It was the highest forecast among the strategists tracked by Bloomberg.

Since Cabra's team recommended buying US stocks in November last year, the S&P 500 Index has risen 20%.

While the market is betting on interest rate cuts by the Federal Reserve (Fed), US stocks continue to hit record highs this year,The S&P 500 stock price index hit an all-time high 20 times since the beginning of 2024I'm doing it. While solid economic growth underpins corporate profits, tech giants are skyrocketing due to the AI boom.

Other strategists, including Bank of America's US stock strategy manager Savita Subramanian and UBS managing director Jonathan Golb, have also raised their year-end targets for US stocks in the past month in an attempt to catch up with rising stocks.

Last week, the S&P 500 stock price index surpassed 5,200 dollars, breaking the highest value every day, and surpassing the average target price of 4962 dollars of the latest overseas media statistics strategists.

However, the rise in US stocks was due to Wall Street analysts such as Bank of America's chief investment strategist Michael Hartnett and JPMorgan's chief market strategist Marco Kolanovic“bubble warning”It was also an opportunity for it to be released.

Meanwhile, Societe Generale's Cabra denied these concerns, and the S&P 500To reach the peak of the bubble assessment, it is necessary to rise to close to 6250, which is 20% above the current levelIt was said.

However, after the sharp rise at the beginning of the year, it was warned that the pace of increase in US stocks would slow down since expectations of interest rate cuts by the Federal Reserve (Fed) have already been reflected in current valuations. He believes that US stocks will not fall until the Fed raises interest rates again or corporate performance weakens.