Goldman Sachs predicts S&P 500 to reach 4,500 despite differing opinions from Morgan Stanley and CNBC.

Goldman Sachs has raised its S&P 500 target to 4,500 from 4,000, making the bank among the most bullish on Wall Street. The bank's strategists believe increased productivity and trend real GDP growth from widespread AI adoption will lift the 20-year compound annual growth rate for S&P 500 earnings per share from 4.9% to 5.4%. Meanwhile, Morgan Stanley's Mike Wilson remains bearish, repeating his view that gains can't last because the earnings recession isn't over. His base case sees the S&P 500 dropping to 3,900.