Goldman Sachs has raised their end-2021 target to 4700 from the previous projection of 4300.
Q2 earnings coming in far higher than expected
- exceeding expectations by historically wide margins
- expect aggregate earnings per share for companies in the S&P 500 will be $207 this year, up from a previous forecast of $193
- Further ahead, 2022 expecting aggregate EPS of $212, up from $202
And, bond yields remain low
- “Lower interest rates than expected support a stable forward P/E multiple of 22x”
- the GS forecast for 10-year Treasury yield by year-end is 1.6% (from 1.9% previously)
What's your reaction?