Stock Market Predictions for 2025: A Mixed Bag Of Expectations – JPMorgan

The predictions for Wall Street’s 2025 stock market outlooks have been released, offering a range of expectations from modest gains to potential recessions. The S&P 500 and Nasdaq 100 have shown remarkable growth since 2022, but the future remains uncertain.

What Happened: According to a report, the average 2025 year-end price target for the S&P 500 is 6,539, suggesting a potential increase of approximately 8% from present levels. However, these predictions vary significantly.

BCA Research strategist Peter Berezin foresees a 2025 recession, resulting in a 26% drop in the S&P 500. He attributes this to an expected global economic slowdown and a potential global trade war triggered by the incoming Trump administration.

Barry Bannister, chief equity strategist at Stifel, cautions about an impending correction of 10%-15% due to extreme stock market valuations.

On the other hand, Goldman Sachs GS predicts an 11% rise in corporate profits, driven by a 2.5% annualized growth in the US economy and a 5% increase in corporate revenues, reports the Market Insider.

Morgan Stanley MS CIO Mike Wilson encourages investors to maintain a bullish stance on stocks in 2025, citing potential interest-rate cuts from the Federal Reserve and the possibility of deregulation under the Trump administration.

Also Read: Goldman Sachs Economist: Weight-Loss Drugs Could Be Key To US Economic Growth

JPMorgan JPM has transitioned from bear to bull in its 2025 outlook, increasing its year-end price target to 6,500 due to an expanding business cycle and continued earnings growth. UBS UBS also predicts an upward trend in the stock market in 2025, setting a 6,600 price target for the S&P 500.

However, Ned Davis Research cautions of potential threats to the bull market later in the year, while Bank of America strategist Savita Subramanian expects more subdued gains spread across sectors.

Despite the varied predictions, Wall Street remains cautiously optimistic about the stock market’s prospects in 2025.

Here’s an in-depth look at Wall Street’s outlook for the stock market in the year ahead, according to the Insider.

S&P 500 price targets, Projected level for end-of-year 2025:

Oppenheimer 7,100

Wells Fargo 7,007

Deutsche Bank 7,000

Yardeni Research 7,000

DataTrek Research 6,840

Societe Generale 6,750

BMO 6,700

Bank of America 6,666

Fundstrat 6,600

Barclays 6,600

RBC 6,600

Ned Davis Research 6,600

CFRA 6,585

Morgan Stanley 6,500

Goldman Sachs 6,500

JPMorgan 6,500

Citi 6,500

UBS 6,400

Stifel 5,500

BCA Research 4,450

Read Next

Impending Recession? US Consumer Spending Shows Worrying Signs