Goldman Sachs raises S&P 500 target to 8,000

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Igor Krasulya

27.05.2026

Goldman Sachs raises S&P 500 target to 8,000 — Goldman lifts S&P 500 target to 8,000

Goldman Sachs has revised its forecast for U.S. stocks after a strong earnings season. The bank’s strategists say profit growth tied to artificial intelligence investment could keep the S&P 500 rally going despite geopolitical risks and uncertainty around interest rates.

Highlights

Goldman Sachs raised its S&P 500 target to 8,000 from 7,600.
The bank expects the index to return about 17% this year.
Its 2026 EPS forecast for the S&P 500 was raised to $340.
AI infrastructure could drive about half of the index’s earnings growth.

New target after strong earnings

According to Bloomberg, the Goldman Sachs team led by Ben Snider raised its year-end target for the S&P 500 to 8,000 from 7,600. The forecast implies a return of about 17% for the index this year and puts Goldman in line with Morgan Stanley and Deutsche Bank, which also expect further gains in U.S. equities.

Source: Bloomberg

The revision follows a strong first-quarter earnings season. The strategists said the higher target reflects improved earnings estimates for S&P 500 companies after “exceptionally strong” results. The index has already gained nearly 10% this year and reached a record on Tuesday, closing at 7,519.

AI remains the main driver

Goldman Sachs also raised its 2026 earnings-per-share forecast for S&P 500 companies to $340, implying year-over-year growth of about 24%. The bank expects profits to rise by another 13% in 2027.

According to the strategists, companies benefiting from investment in AI infrastructure are expected to account for roughly half of S&P 500 earnings growth this year. At the same time, Goldman does not expect a major expansion in valuations: uncertainty around AI, the macroeconomic outlook and interest rates should limit multiple growth.

What the new forecast changes

Goldman’s revision shows that Wall Street is relying less on rate cuts and more on the resilience of corporate earnings. If AI-linked companies continue to meet expectations, the S&P 500 could remain supported even after its strong rally.

But the margin for error is narrowing. The index is already trading near record highs, and further gains require earnings to keep outpacing concerns about rates, the war with Iran and a potential overheating of the AI trade.

In an earlier report, we noted that S&P 500 heads for strongest profit growth in five years.

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