RBC Targets S&P 500 at 7,900 Within 12 Months, Forecasts Limited Pullback to 5-10%

According to RBC, the bank forecasts the S&P 500 will reach 7,900 within 12 months, representing about 7.7% upside from current levels. RBC warned that any pullback would likely remain between 5% and 10%, with analyst Lori Calvasina noting that a deeper decline of 14-20% is unlikely unless economic recession risks resurface. The outlook is based on a differentiated growth model driven by AI-driven earnings expansion.