Barclays raised its 2026 S&P 500 (SPX) price target to 7,650 from 7,400 on Tuesday, implying upside of nearly 17% from current levels. The firm also raised its earnings estimate to $321 per share, up from $305.
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Forget margin or options. Here's how the pros trade QQQHowever, the firm warned of near-term volatility driven by the U.S.-Iran war, AI disruptions, and weakness in the private credit market. “We are incrementally bullish on US equities, though the road likely stays bumpy until we turn a corner,” said Barclays Strategist Venu Krishna.
Barclays Sets S&P 500 Bear Case Price Target to 5,900
Barclays set its bear case price target to 5,900, which signals downside of 10% from current prices. The firm noted that rising oil prices could lift inflation and force the Fed into an “unenviable corner.” It also highlighted growing redemption pressure in private credit funds as a risk that could deepen the downturn if sentiment deteriorates.
Still, Barclays believes that the current cycle in the stock market will be able to overpower any negative catalysts, with technology acting as a “secular growth engine.”