India, Aug. 17 -- Wall Street is betting on another strong year for US stocks, with the S&P 500 expected to gain about 17% over the next 12 months as investors continue pouring money into companies tied to artificial intelligence. Analysts tracked by FactSet Research have set a median 12-month target of 9,106 for the index, compared with its current level of about 7,786.

If the forecast holds, the S&P 500 would deliver a gain well above its average annual return of 9.5% over the past two decades, excluding dividends, according to data cited by The Motley Fool.

The bullish forecast comes as investors continue to channel capital into AI-related companies. Wall Street is also expecting solid earnings growth from S&P 500 companies in 2026, ...