tl;dr
Fundstrat’s Tom Lee sees significant stock market opportunities this year, citing US business resiliency despite pandemic challenges, rate hikes, and tariffs. He notes the 10-Year yield at 4% is manageable for the economy and companies. Looking toward 2026, Lee anticipates positive factors like dere...
Fundstrat’s Tom Lee sees strong stock market opportunities in 2024 driven by resilient US businesses, manageable interest rates, potential deregulation, tax cuts, and improved trade partnerships.
Lee highlights that despite the challenges posed by the pandemic, rate hikes, and tariffs, US companies have shown remarkable resilience. The current 10-Year Treasury yield at 4% remains manageable for the economy and businesses, providing a favorable funding environment for returns on capital.
Looking ahead to 2026, Lee is optimistic about factors that could boost corporate earnings, including deregulation, the resolution of tariff issues, potential tax cuts, and enhanced trade partnerships with other countries.
Although the market has been flat year-to-date through May, many stocks have been heavily discounted, presenting attractive buying opportunities. Key targets include Tesla, the Magnificent Seven tech giants—Tesla, Meta, Alphabet, Amazon, Apple, Microsoft, and Nvidia—as well as small-cap stocks.
As of the latest close, the S&P 500 is trading at 5,886, signaling a market poised for potential growth.
Lee’s insights encourage investors to consider the current landscape as a moment to explore high-quality opportunities in both large-cap tech and smaller companies, reflecting a dynamic and promising stock market environment in 2024.