Here’s How High The Stock Market Will Go In 2021, According To Wall Street’s Experts

Here’s How High The Stock Market Will Go In 2021, According To Wall Street’s Experts

Topline

After a year of massive volatility, the bull market's record streak has room to grow next year, Wall Street observers say; here's how high top Wall Street firms expect the broad-market S&P 500 will climb in 2021.

A pair of traders share a laugh on the New York Stock Exchange floor.



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Key Facts





In a weekend note to clients, Goldman Sachs said it expects the S&P to end next year at about 4,300 points (indicating 17% upside), an admittedly "optimistic" forecast contingent on increased corporate earnings and a low-interest rate environment that remains favorable for corporations.





Hardly anyone's as bullish as Goldman though; Morgan Stanley, Wells Fargo and LPL Financial all have end-of-2021 targets for the S&P of 3,900, representing about 6% upside to current levels.







Wells Fargo and LPL are confident corporate earnings will surge close to 30% next year, helping to ground some of the outsized valuations in growth stocks that have pushed the average S&P valuation to more than 30 times realized annual earnings–up from about 22 last