JPMorgan’s bullish analyst Tom Lee just cranked up his S&P forecast:
This has been a better bull market than we expected, particularly in 2013. But this is conforming to history—the average gain in the fifth year of a bull market is 19% (implies 1,719). The S&P 500 closed on 5/16 at 1,650, above our original target of 1,580, thus we are raising our YE target to 1,715, based on a 14.7x P/E on our 2014E EPS of $117. We realise investors are apprehensive about making fresh money purchases, but we see the risk/reward as particularly attractive in Technology, Healthcare, and Financials.