Citi Says S&P 500 Primed for New Record High as Wells Fargo, Bank of America Raise Price Target for One Red-Hot Stock

Citigroup analysts believe the S&P 500 is heading for a new all-time high.

The financial giant’s strategists are raising the target for the index from 6,300 to 6,600 by year-end, reports Bloomberg.

By mid-2026, the strategists see the index hitting 6,900 points, driven by an increase in corporate earnings, with the recently passed “big beautiful” spending bill neutralizing any negative impact tariffs could have on US businesses.

“The bevy of the first-half policy-related distortions are gradually being priced into earnings expectations. The path higher for the S&P 500 will require the mega cap growth leadership to hold, with continued broadening across sectors to augment the price action.”

Meanwhile, Wells Fargo is increasing the price target for the largest S&P 500 component stock, boosting its price target for computing infrastructure firm Nvidia (NVDA) from $185 to $220.

According to the Wells Fargo analysts, the strong demand for Nvidia’s chips and the recent decision by the US government to allow the computing infrastructure giant to sell the H20 Artificial Intelligence (AI) chips to China could boost earnings.

Earlier this month, Bank of America detailed its own bullish case for Nvidia and retained a price target of $220.

Nvidia is trading at $179 at time of writing, and the new Citigroup target represents an upside potential of around 23% from the current price.