Another Wall Street giant has raised its year-end 2025 price target for the S&P 500 (SPX), and this time, it’s Citigroup. Strategists at the investment firm now expect the benchmark index to finish the year at 6,600, up from 6,300, citing better-than-expected earnings and tax cuts from Trump’s One Big Beautiful Bill that will offset tariff effects.
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Citi has now raised its price target twice during the past two months. In June, the firm hiked its estimate to 6,300 from 5,800 on strength in the AI sector and higher expectations for earnings.
Citi Lifts 2025 S&P 500 Earnings Estimate
Citi now expects the S&P 500 to post a 2025 EPS of $272, up from $261. Over 81% of S&P 500 companies have beaten earnings estimates so far, the highest level in seven quarters, according to Bloomberg Intelligence.
Furthermore, Citi expects the S&P 500 to trade at 6,900 by mid-2026, an increase of about 8% compared to Friday’s closing price. It raised its 2026 EPS estimate to $308 from $295.
The S&P 500 has returned 8.63% year-to-date.
