Goldman Sachs Group strategists said that with the widespread application of artificial intelligence and economic growth remaining resilient, the US stock market will hit a record high next year due to profit growth. The team led by Ben Snyder expects earnings per share of S&P 500 companies to grow 12% next year and 10% in 2027. Among them, the increase in productivity driven by artificial intelligence will contribute about 0.4% and 1.5%, respectively. “The application of artificial intelligence is still in its early stages, but so far, progress has been more remarkable for large companies than for small companies,” the strategist wrote in the report. “We anticipate that healthy nominal revenue growth, the gradual decline in the drag caused by tariffs, and continued strong earnings from large stocks in the index will jointly drive this growth.”

Goldman Sachs Group strategists said that with the widespread application of artificial intelligence and economic growth remaining resilient, the US stock market will hit a record high next year due to profit growth. The team led by Ben Snyder expects earnings per share of S&P 500 companies to grow 12% next year and 10% in 2027. Among them, the increase in productivity driven by artificial intelligence will contribute about 0.4% and 1.5%, respectively. “The application of artificial intelligence is still in its early stages, but so far, progress has been more remarkable for large companies than for small companies,” the strategist wrote in the report. “We anticipate that healthy nominal revenue growth, the gradual decline in the drag caused by tariffs, and continued strong earnings from large stocks in the index will jointly drive this growth.”