Wells Fargo has joined a growing wave of Wall Street firms lifting their 2025 S&P 500 (SPX) price targets. The bank now expects the benchmark index to finish the year between 6,300 and 6,500, up from its prior estimate of between 5,900 and 6,100. That signals a price target increase of 6.67% at the midpoint of both estimates.
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Wells Fargo says the economy stands to gain from deregulation, tax cuts from the One Big Beautiful Bill, and delayed tariffs. President Trump shocked investors after announcing sweeping tariffs in April. Since then, he has softened his approach by providing tariff grace periods in order to negotiate deals.
Wall Street Lifts S&P 500 Price Target as Sentiment Improves
“Extending tariff implementation over a longer period coupled with the passage of the tax provisions in the [One Big Beautiful Bill] has improved investor sentiment and our forecast for equity earnings and returns,” said the firm in a note to clients. Wells Fargo added that it expects the S&P 500’s “soft patch” to last until early 2026.
Wells Fargo follows in the footsteps of Goldman Sachs and Bank of America, which raised their price targets last month. Goldman expects the S&P 500 to close out the year at 6,600, while Bank of America has issued a forecast of 6,300.
The S&P 500 has returned 9.66% year-to-date.
