Markets

Jefferies Targets S&P 500 at 9,000 by End of 2027

By Markets Desk · 2026-09-21 · 1 min read

Jefferies projects the S&P 500 will reach 9,000 by late 2027, driven by $450 in EPS and 20.8% earnings growth.

Key points

Jefferies forecasts the S&P 500 will hit 9,000 by end-2027, driven by 20.8% earnings growth.
The firm expects 2026 EPS to reach $373, with AI-related companies contributing 46% of index value.
Rising Treasury yields remain a key risk, with the 10-year note currently at 5%.

Jefferies raised its S&P 500 target to 9,000 by the end of 2027. This represents a 17 percent increase from current market levels.

The firm expects earnings per share to reach $450 by that time. This projection relies on 20.8 percent annual earnings growth.

Consensus estimates for 2026 earnings growth rose from 13 to 29 percent. This sharp improvement supports the brokerage's bullish outlook.

Jefferies forecasts 35 percent earnings growth for the current year. The index currently trades at 21.5 times forward earnings.

The 2027 target assumes a lower 20 times multiple. This indicates the forecast does not require significant valuation expansion.

Companies with AI exposure account for 46 percent of the index. Their earnings are projected to grow 60 percent in 2026.

Growth is expected to slow to 24 percent in 2027. Jefferies expects both AI and non-AI sectors to maintain double-digit gains.

Only 36 percent of S&P 500 stocks outperformed the index. This is below the long-term average of 47 percent.

The ten-year Treasury yield has risen 60 basis points in 2026. It currently stands at 5 percent.

Based on reporting by tradingview.com, compiled by the Tradingbird desk.