The Current State of the Stock Market and a Week-Ahead Outlook for Select Shares
As of December 12, 2023, the stock market has shown positive momentum, with Wall Street closing higher in anticipation of the Federal Reserve’s FOMC meeting outcome and key inflation data releases. The Dow Jones Industrial Average, Nasdaq Composite, and S&P 500 all ended in positive territory, reaching their highest closes since early 2022. The market is closely watching the Fed’s rate hike cycle, with expectations leaning towards a possible rate cut in early 2024. Additionally, the labor market shows resilience, and inflation rate expectations are on a decline, indicating a possible cooling down to 3.1% next year from 4.5% in November 2023.
Moving to individual stocks, let’s look at the forecast for the week ahead for some key shares:
- Johnson & Johnson (JNJ): Analysts have an average 12-month stock price forecast of $167.73 for JNJ, predicting an 8.10% increase. The stock is generally rated as a buy.
- Chevron Corp (CVX): The average 2023 price target for Chevron Corp is $180.00, suggesting a potential upside of approximately 24.73% from its last closing price in December 2023.
- Walmart (WMT): Walmart’s average twelve-month price prediction stands at $179.44, with a high price target of $210.00 and a low target of $157.00.
- The Coca-Cola Company (KO): Analysts predict an average 12-month stock price of $66.25 for KO, indicating a 10.55% increase. The stock is rated as a buy on average.
- The Walt Disney Company (DIS): Disney’s average 12-month stock price forecast is $110.53, predicting a 19.08% increase. Analysts generally rate DIS as a buy.
- Alibaba Group Holding Limited (BABA): The average 12-month stock price forecast for Alibaba is $137.25, indicating an 85.50% increase, with analysts rating it as a strong buy.
