Updated
Updated · CNBC · Jun 25
Fundstrat Raises S&P 500 Target to 8,000 on Stronger 2027 Earnings
Updated
Updated · CNBC · Jun 25

Fundstrat Raises S&P 500 Target to 8,000 on Stronger 2027 Earnings

3 articles · Updated · CNBC · Jun 25

Summary

  • Tom Lee lifted Fundstrat's 2026 year-end S&P 500 target to 8,000 from 7,700, bringing the firm broadly in line with Goldman Sachs at 8,000 and Citigroup at 8,100.
  • Higher 2027 EPS forecasts drove the increase, with Fundstrat saying stronger earnings offset a more conservative valuation view and a lower target price-to-earnings multiple.
  • Fundstrat still expects multiple expansion, supported by AI spending, energy infrastructure buildout, onshoring and Wall Street blockchain adoption as earnings and growth drivers.
  • Three tests could disrupt the path higher: a new Fed leadership team, potential IPO unlocks including SpaceX and Anthropic, and petroleum product shortages tied to the Iran conflict.
  • The firm reiterated bullish calls on technology, financials, industrials, small caps and energy/materials, adding Caterpillar to its large-cap Top 5 while putting Northrop Grumman, Palantir and MicroStrategy on its Bottom 5.

Insights

With a severe oil crisis fueling global stagflation, can the S&P 500 truly defy gravity and reach its optimistic 8,000 target?
Is the market's historic rally built on solid AI-driven earnings, or is it a bubble inflated by dangerously optimistic profit forecasts?