BCA Research has raised its S&P target to 8100 points, with AI remaining a core variable.

BlockBeats News, June 25th, BCA Research has become the latest strategy firm to raise its US stock market target, showing Wall Street is more optimistic about earnings support for the second half of the year.

The firm has raised its year-end target for the S&P 500 index from 7,700 points to 8,100 points. BCA's key assessment is that first-quarter corporate earnings strength and breadth have exceeded previous expectations, and the US economy has re-entered an expansion phase. Similar to JPMorgan Chase, BCA believes that this round of stock market gains is not only driven by valuation expansion; earnings themselves are "validating" the index's increase.

AI remains a key variable in this assessment. Large tech companies such as Alphabet, Microsoft, Amazon, Meta, and Oracle continue to increase capital spending on data centers and AI infrastructure, driving growth in orders for chips, servers, construction, power, and related supply chains. This provides a more solid fundamental basis for upward revisions to earnings for 2026 and 2027.

The firm believes that the risk lies in the fact that the earnings expansion brought about by AI investment has already been rapidly priced in by the market. If the subsequent return on capital spending is questioned, or if interest rates remain high, further upside in the index may require more earnings confirmation rather than simply relying on investor risk appetite.