This would put the S&P 500 at just above 6,500 by 2032, representing a potential surge of nearly 80% from Thursday’s close. With the addition of a 2% dividend yield, total annualized returns could be as high as 8%, according to Subramanian.
But while long-term forecasts look the best they have in over two years, short-term looks more dicey for the stock market, and “near-term pain remains,” she said.
“While the S&P 500 fell below our year-end target of 3,600, we continue to expect volatility in the market,” Subramanian said, adding that only 20% of her bull market indicators have flashed positive so far. Typically, prior stock market bottoms have seen 80% of those indicators flash green, according to the note.
