Wall Street analysts have diverging outlooks for the stock market in 2025.

Bullish and Bearish Forecasts

While most firms are bullish, Stifel and BCA Research have a bearish forecast for the S&P 500.

Stifel's Concerns

Stifel's chief equity strategist, Barry Bannister, is concerned about high valuations and predicts a correction of 10% to 15% with the S&P 500 settling in the low-to-mid 5,000s by the end of 2025.

BCA Research's Projection

BCA Research projects a 27% decline in the S&P 500 by year-end, citing fading benefits of pandemic-era policies and a decline in consumption momentum.

Precarious State of Valuations

Both firms highlight the precarious state of stock market valuations and express concerns about the viability of risk assets.

Broad Optimism on Wall Street

Despite the contrasting views from Stifel and BCA Research, the broader sentiment on Wall Street remains optimistic, with many firms shifting to a more bullish stance.

Average Year-End Price Target

The average year-end price target for the S&P 500 is 6,539, suggesting a potential upside of about 8%.

Uncertainty in the Market

The contrasting views from Stifel and BCA Research underscore the uncertainty in the market as it enters 2025.