JPMorgan's Stock Recommendations for 2026

JPMorgan's Strategy for 2026

As the year comes to a close, JPMorgan Chase has shared its top stock recommendations for 2026 with investors. According to the Wall Street bank, investors should be prepared for a year where artificial intelligence continues to drive the market.

S&P 500 Indicators

The bank predicts that the S&P 500 index will close at 7,500 points in 2026. This forecast implies a 10% increase compared to the current levels of the index. JPMorgan advises institutional investors to focus on companies with strong balance sheets that are involved in data center expansion and infrastructure investments.

The Magnificent Seven: GOOGL

JPMorgan expects GOOGL, the best-performing stock in 2025, to maintain its superiority in 2026. The report states, “We expect GOOGL to trade at approximately 24 times its earnings per share in its 2027 financials. Alphabet's strong leadership in artificial intelligence could aid in the expansion of applications,” supporting the claim.

Expectations for Allstate Stock

The bank notes that its favorite in the insurance sector, Allstate, is trading at attractive levels. Since 2025, Allstate shares have increased by more than 6%. However, JPMorgan's target price of $260 indicates that the stock has the potential for an over 25% increase during 2026. The assessments reflect strong automobile and home margins along with a high portfolio weighting.

Avery Dennison: RFID Technology

There are also opportunities in the packaging sector. Avery Dennison has signed a partnership agreement with Walmart to use radio frequency identification (RFID) labels for fresh food. This collaboration could strengthen the company’s RFID business for the future. The stock lost 2% in value in 2025, but JPMorgan's target price of $195 is approximately 7% above the current trading price.

We recommend conducting thorough research before making investment decisions. The information provided here does not constitute investment advice.