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Market may be bottoming with strong earnings growth and S&P 500 targets rising despite risks.

Market News
06 Apr 2026
Seeking Alpha
View Source
Bullish
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Bill Gunderson, a market strategist, believes the stock market is forming a major bottom, creating a strong buying opportunity despite recent volatility. He highlights robust earnings growth for the S&P 500 in Q1 2026, with estimates of 13.2% earnings growth and 9.7% revenue growth, defying bearish views. The forward price-to-earnings ratio has compressed below its five-year average, while earnings estimates are at record highs, suggesting significant upside potential. Gunderson projects a 12-month S&P 500 target range of 7,400 to 8,300 if valuation multiples revert, although risks like high oil prices and interest rates remain.

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