The S&P 500 could cross the 8,000 threshold before the close of this year, following an upward revision in projections from Ed Yardeni, Chief Investment Strategist at Yardeni Research. The more optimistic outlook reflects growing strength in U.S. equities as major strategists continue to raise their targets in response to rising corporate earnings.
Ed Yardeni has sharply increased his S&P 500 year-end estimate, setting a new target of 8,250—up from his previous forecast of 7,700. This revision suggests an approximately 11% climb from the index’s closing level on Monday, representing one of the most optimistic stances among major Wall Street forecasters.
Alongside the higher index target, Yardeni also adjusted his earnings per share (EPS) projections for the S&P 500 upward. He now expects EPS to reach $330 in 2026, compared to prior expectations of $310, and forecasts $375 in 2027, up from $350. In a note released Sunday, Yardeni cited the rapid increase in consensus earnings forecasts for the index, describing the pace of recent revisions as unprecedented and attributing the recent market rally to these fundamental improvements.
Yardeni emphasized that estimates for this year and next have considerably exceeded his earlier benchmarks. He remains convinced that the current upward trend in the market will persist, maintaining his long-term projection for the S&P 500 to touch 10,000 by the end of 2029, while suggesting that this level might be reached even earlier if current momentum holds.
Other firms have also revised their year-end targets in light of strong earnings and robust gains in the technology sector. HSBC Holdings, along with Alastair Pinder, raised their forecast for the S&P 500 to 7,650 from 7,500. Similarly, CFRA Research increased its projection last week, moving its year-end target to 7,575 from 7,400.
