Most major Wall Street outlooks currently do expect a positive, though more modest, gain for US stocks in 2026, not a flat or down year. What Wall Street Is Pricing In Large strategists’ S&P 500 targets cluster in low- to mid‑single‑digit to low‑teens price gains (roughly 3–13% price upside), plus dividends. FactSet’s earnings aggregation points to about 15% S&P 500 EPS growth in 2026, which historically has been consistent with at least some positive equity return, even if multiples compress. Key Bullish Supports Forecasts generally assume: continued (but slower) US growth around a bit above 2%, falling recession odds near 30%, and incremental Fed easing supporting risk assets. Multiple houses (Goldman, Morgan Stanley, Yardeni, etc.) see a fourth straight up year driven primarily by earnings growth rather than further valuation expansion. Why Upside May Be Smaller Consens...
Investment and economic observations by N. Russell Wayne, CFP, MBA. Mr. Wayne is the president of Sound Asset Management, inc. and former Managing Editor of The Value Line Investment Survey.