Goldman Sachs Sees S&P 500 Rising 14% to 8,700 Over Next 12 Months

The striking element is the internal tension: Goldman is calling for further upside while simultaneously flagging a sharp slowdown in earnings growth, implying the case rests on valuation repair rather than fundamentals. That matters for anyone holding mega-cap tech exposure, since the recent selloff—not earnings power—is doing the heavy lifting in the thesis. The dual overweight to U.S. and Japanese equities also signals a preference for developed-market breadth over other regions. Whether earnings deceleration proves as mild as the target implies is the open question.