Fortune (July 5)
2026/ 07/ 07 by jd in Global News
“In a note on Tuesday” Bank of America “analysts reaffirmed their year-end price target of 7,100 for the broad market index, representing a 5% drop from the week’s closing level.” Citing “extreme levels” of speculation, BoA believes the market is poised for a “snapback,” also noting “that S&P 500 companies are generating less free cash flow relative to net income compared to historical trends. That’s as so-called hyperscalers have seen their free cash flow plunge due to massive spending on the AI boom, eroding their earnings.”
Tags: AI boom, Analysts, BoA, Broad market, Earnings, FCF, Historical trends, Hyperscalers, Index, Net income, Note, Price target, S&P 500, Snapback, Speculation, Spending
