UBS Reaffirms End-2027 S&P 500 Target at 8,900 and Sets 2028 Target at 9,600

UBS reiterated its year-end 2027 target of 8,900 for the S&P 500 and introduced an end-2028 target of 9,600, citing favorable forward return prospects following valuation derating in 2026. The 8,900 target reflects about 13% upside from the firm's revised 2026 target of 7,900. UBS strategist Keith Parker noted the index's forward price-to-earnings ratio fell roughly 20% in 2026 despite earnings growth of about 33%. The bank projects S&P 500 earnings per share to increase 18% to $430 in 2027 and 14% to $490 in 2028.