Morgan Stanley’s Wilson Was ‘Wrong’ But Still Sees Lower S&P 500
- Calls for the index to fall 6% to 4,400 over next 12 months
- Tightening financial conditions, slow growth will be headwinds
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One of Wall Street’s most skeptical stock-market strategists is sticking to his cautious stance even while issuing a mea culpa for his bearish 2021 prediction.
“Our S&P 500 price targets proved to be too low -- i.e., wrong,” Morgan Stanley’s chief U.S. equity strategist Mike Wilson wrote in a note to clients Monday. Still, “with financial conditions tightening and earnings growth slowing, the 12-month risk/reward for the broad indexes looks unattractive at current prices.”