Reuters
Morgan Stanley sets end-2022 S&P 500 target at 4,400
Morgan Stanley analysts see the S&P 500 moving lower in 2022, with equity markets more volatile as earnings growth slows, bond yields climb and companies try to manage supply chain disruptions and higher input costs. In a note on Sunday, the firm said it was underweight the benchmark S&P index due to slower earnings per share growth and higher starting valuations versus its global peers, and its base-case target of 4,400 implied downside potential of 5%. On an earnings per share (EPS) view, Morgan Stanley sees the best growth next year in Europe and Japan, while the firm is neutral on emerging markets.
