Something remarkable is happening on Wall Street—and it's not just the record highs. For the first time in recent memory, there's unanimous agreement among major market strategists: stocks will climb higher in 2026.

According to a Bloomberg survey of 21 Wall Street prognosticators, not a single forecaster is predicting a decline for the S&P 500 this year. If the bulls are right, 2026 would mark the longest winning streak for U.S. equities since the early 2000s.

The Range of Optimism

While strategists agree on direction, they differ on magnitude. Year-end targets for the S&P 500 span a wide range:

  • Bank of America: 7,100 (approximately 3.7% upside from current levels)
  • JPMorgan: 7,500 base case, with upside potential to 8,000
  • Morgan Stanley: 7,800
  • Wells Fargo: 7,800
  • Deutsche Bank: 8,000 (nearly 17% upside)

The average year-end forecast implies roughly a 9% gain from current levels, building on the S&P 500's strong 2025 performance that saw the index close at 6,845.

What's Driving the Bullishness

Several factors are fueling Wall Street's optimism:

Corporate Earnings Acceleration

Analysts expect S&P 500 companies to boost earnings by 15.5% in 2026, up from an estimated 13.2% in 2025. This acceleration represents a meaningful step-up in profit growth that could justify elevated valuations.

Continued AI Investment

"Continued strength in AI investment alongside healthy growth in other businesses will support roughly 20% sales growth for major tech stocks in 2026," noted one strategist. The artificial intelligence boom that powered the "Magnificent Seven" through 2024 and 2025 shows no signs of exhaustion.

Economic Resilience

Goldman Sachs projects 2.6% U.S. GDP growth in 2026, defying years of recession predictions. The American consumer, buoyed by a resilient labor market and accumulated savings, continues to spend.

Federal Reserve Support

With the Fed having already cut rates three times in late 2025, bringing the federal funds rate to 3.5%-3.75%, financial conditions have eased meaningfully. Markets are pricing in additional cuts later this year, which could provide further support for risk assets.

The Risks Worth Watching

Despite the bullish consensus, strategists aren't blind to potential headwinds:

AI Disappointment: LPL Financial argues that "AI disappointment is the number one risk" for markets in 2026. If artificial intelligence fails to deliver on its transformative promise—or if corporate AI investments don't translate into productivity gains—the market's most richly valued stocks could face a reckoning.

Policy Uncertainty: The upcoming Fed chair transition, persistent geopolitical tensions, and potential tariff escalations could inject volatility into markets at any point.

Midterm Year History: 2026 is a midterm election year, and historically, such years have proven more challenging for equity returns. Political uncertainty tends to weigh on investor sentiment until the election calendar clarifies.

Valuation Concerns: U.S. stocks trade at historically elevated multiples relative to earnings and international peers. Some strategists worry that much of the good news is already priced in.

What History Says About Unanimous Calls

Market historians will note that extreme consensus, whether bullish or bearish, has sometimes preceded unexpected moves in the opposite direction. When everyone agrees, contrarians argue, the crowd may have already positioned accordingly—leaving little incremental buying power to push prices higher.

"The market has a way of humbling forecasters precisely when confidence is highest."

— Veteran market strategist

Yet it's worth acknowledging that Wall Street's consensus doesn't form in a vacuum. Strategists are responding to genuinely supportive fundamentals: strong earnings growth, accommodative monetary policy, and an economy that refuses to crack despite years of elevated interest rates.

The Bottom Line for Investors

Whether the unanimous bullish calls prove prescient or serve as a contrarian indicator, the message for long-term investors remains consistent: stay invested, stay diversified, and don't attempt to time the market based on Wall Street forecasts—even when they all agree.

The S&P 500 opened 2026 at 6,845 points. By year's end, we'll know whether this historic consensus was warranted confidence or collective overreach. Either way, the journey will likely include volatility that no forecast can predict.