The S&P 500 (SNPINDEX: ^GSPC) tumbled as much as 25% in 2022 as runaway inflation and rising interest rates weighed on the stock market. Against that backdrop, Tom Lee of Fundstrat Global Advisors turned heads when he predicted the index would rally 24% in 2023 despite the growing risk of recession.

Lo and behold, his estimate was the most accurate on Wall Street. The S&P 500 surged 24.2% in 2023 as market sentiment was revitalized by economic resilience and enthusiasm surrounding artificial intelligence. Of course, one good forecast does not mean Lee has a crystal ball, but it does lend credit to his latest prediction.

Specifically, Lee recently told Bloomberg the S&P 500 could reach 15,000 by 2030 as demand for artificial intelligence ripples through the economy. That implies 174% upside from its current level of 5,465, which is equivalent to an annual return of 16.7% through the end of the decade.

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Source Fool.com