ICYMI, this via a Goldman Sachs note on Friday, equity strategists at the firm bumped up their year-end S&P 500 index target to 5200 from 5100.
GS raised profit estimates (and thus the target) by 8% to USD241 (2024 EPS)
- "The nearly-completed 4Q earnings season highlighted the ability of corporates to sustain profit margins despite slowing inflation"
- Sees stronger economic growth, higher profits in the Information Technology and Communication Services sectors
- "The fundamental strength of the mega-cap stocks should also boost aggregate S&P 500 profits in 2024"
- "The clearest upside risks to our EPS forecasts are stronger GDP growth than we currently anticipate or continued upside earnings surprises from the mega-caps"
Goldman Sachs nominate "disappointing growth in the macroeconomy or from the largest stocks" as key risks to their forecasts.