Goldman Sachs raised its year-end 2026 S&P 500 target to 8,000 from 7,600. Strategists identified corporate earnings growth as the primary driver for the upward revision.
Increased investment in artificial intelligence is expected to significantly boost corporate profits. The firm raised its 2026 earnings per share forecast to $340, representing a 24% year-over-year increase.
The 2027 earnings per share forecast now stands at $385. AI infrastructure companies are projected to drive 50% of the S&P 500's earnings growth in 2026.