Bank of America Global Research has raised its year-end S&P 500 target to 6,300, up from the previous projection of 6,200, aiming to keep pace with the stock market’s sharp rise thus far in 2025. While this reflects an adjustment to recent gains, BofA analysts caution that further upside may be limited in the near term.

BofA’s revised target indicates a projected increase of less than 2% from current levels, as markets have already entered “euphoric territory”, according to several analysts. The firm noted that unless earnings growth accelerates, stretched valuations may cap future gains.

The S&P 500’s strong year-to-date performance—driven largely by Big Tech—has raised valuation concerns. BofA highlighted that broader sector participation will be required for sustained upward momentum.