Goldman Strategists Cite Earnings in Hiking S&P 500 Target to 8,000

Watch on YouTube ↗  |  May 27, 2026 at 13:50  |  2:02  |  Bloomberg Markets
Speakers
Michael Msika — Bloomberg senior strategist

Summary

Goldman Sachs raised its S&P 500 year-end target to 8,000, citing stronger-than-expected earnings growth fueled by AI investment. Bloomberg's Michael Msika explains the rationale and notes that other major strategists have similarly bullish targets.

  • Goldman Sachs increased S&P 500 target from 7,600 to 8,000 by end of 2026.
  • The revised target is based on 24% earnings growth this year and 13% next year.
  • AI and AI CapEx are the primary drivers of the earnings growth.
  • Goldman strategist Ben Schneider believes the market has been underestimating earnings.
  • Other banks like Deutsche Bank and Morgan Stanley also have 8,000 or higher targets.
  • Michael Msika reports that bullishness on the S&P 500 shows no sign of abating.
Trade Ideas
Michael Msika Bloomberg senior strategist 0:25
S&P 500 to 8000 on AI earnings growth.
The S&P 500 will reach 8,000 by the end of 2026 because earnings growth is being underestimated. Earnings growth is driven by AI and AI-related capital expenditure, with 24% earnings growth expected this year and 13% next year. The market's rise has lagged earnings growth, and nothing is currently able to stop the upward trend.
SPY HIGH
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This Bloomberg Markets video, published May 27, 2026, features Michael Msika discussing SPY. 1 trade idea extracted by AI with direction and confidence scoring.

Speakers: Michael Msika  · Tickers: SPY