Goldman lifts 2026 S&P 500 target to 8,000

Goldman Sachs has increased its 2026 year-end target for the S&P 500 index to 8,000, up from a prior projection of 7,600. The revised level reflects the bank’s view that corporate earnings will remain strong and that profitability will be further supported by developments in artificial intelligence. The updated target was outlined in a research note that has been reported by multiple outlets.

According to the firm, the 8,000 target stands about 6.4% above the S&P 500’s most recent closing level of 7,519.12. The change places Goldman’s forecast among the more optimistic views on the index’s medium-term trajectory, as other brokerages have also cited resilient earnings and AI-related gains in their outlooks.

Alongside the higher index target, Goldman raised its earnings-per-share projections for the S&P 500. The bank now forecasts EPS of $340 for 2026, which it said implies roughly 24% year-on-year growth. For 2027, Goldman expects EPS to reach $385, a further 13% increase compared with its 2026 estimate.

These upgraded forecasts underpin the firm’s higher price target and reflect expectations that corporate profitability will continue to expand at a double-digit pace over the period. The note presents robust earnings growth as a key factor offsetting broader macroeconomic and sector-specific risks highlighted by other analysts.

Goldman attributes a significant portion of its constructive view to the impact of artificial intelligence on corporate results. The bank stated that AI infrastructure beneficiaries, particularly companies tied to semiconductors and related AI supply chains, are expected to drive about half of the S&P 500’s earnings growth this year.

The research note observed that semiconductor stocks have recently outpaced their forward earnings, underscoring market expectations for continued AI-related demand. Goldman framed these AI-oriented sectors as central contributors to index-level earnings momentum, helping to justify both the raised EPS projections and the higher S&P 500 target.

Bloomberg reported that the Goldman Sachs strategist team responsible for the new projections was led by Ben Snider. Their note aligns with a broader series of optimistic calls from other brokerages, which have also pointed to AI-driven earnings strength as a major support for U.S. equities.

In this context, Goldman’s move reinforces a prevailing narrative that technology and AI-related investments will remain central to S&P 500 earnings growth over the next several years. The raised target and earnings forecasts highlight how expectations for AI infrastructure spending and semiconductor demand are increasingly shaping medium-term equity market outlooks.