Posted on 01/03/2015 10:21:26 AM PST by SeekAndFind
In 2014, Wall Street's stock market forecasts proved too conservative.
The S&P 500 closed the year at 2,058, above the year-end forecast of all but one strategist — FundStrat's Tom Lee.
For 2015, Wall Street sees stocks gaining some ground, but few strategists are calling for the fourth straight year of double-digit gains from stocks.
The average year-end target on the S&P 500 is 2,225 on earnings of $125.35, with the median forecast for the S&P 500 to rise to 2,213 on earnings of $126.
Tom Lee is a big bull again, as is Oppenheimer's John Stoltzfus and RBC's Jonathan Golub, while David Kostin at Goldman Sachs is a bit more cautious.
Here are the outlooks, ranked from lowest to highest:
1. Goldman Sachs' David Kostin: S&P 500: 2,100, EPS: $122.00
"We forecast US stocks will deliver a modest total return of 5% in 2015, in line with profit growth. The US economy will expand at a brisk pace. Corporations will boost sales and keep margins elevated allowing managements to both invest for growth and return cash to shareholders via buybacks and dividends. Investors will cheer these positive fundamental developments."
2. Barclays' Jonathan Gilonna: S&P 500: 2,100, EPS $127.00
"We believe US equities are transitioning out of a recovery rally and into a period of lower returns as the benefits of margin expansion and share repurchases prove to be already priced in and a return of faster revenue growth becomes a prerequisite for another re-rating higher. We forecast the S&P 500 to reach 2100 by the end of 2015. We expect faster earnings growth outside the US in 2015 and, with lower valuations and a looser policy stance, we prefer 'international' stocks over US stocks.
(Excerpt) Read more at businessinsider.com ...
Let me guess: some say the stock market will go up, while others believe it will go down.
The market is open every day, so feel free to place your bets any time....
Why 13?
RE: Let me guess: some say the stock market will go up, while others believe it will go down.
Read the article, ALL of them believe it will be HIGHER than it was in 2014.
IMHO, a major concern is the slow drift away from the dollar being the “official” world reserve currency.
If this continues, it will be catastrophic, not just to the Big Wigs on Wall Street, but for everybody.
OK, that’s good. It is almost certain to go down then, because bullishness is a bearish indicator.
Bump for later.
Oppenheimer, CITI, Bank of America, Morgan Stanley...all more bullish.
The pass line...
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