One of Wall Street’s most prominent bears has started running with the bulls.Morgan Stanley’s Mike Wilson says the S&P 500 could hit 6500 in the next 12 months, according to a note published Monday—roughly 10% above its current level of about 5900.

Mike Wilson recommended investors own high-quality cyclical stocks, with a particular focus on stocks found in the financials sector.

It’s been a great two years in the stock market, with the S&P 500 following last year’s 24% gain with, so far, another 23% appreciation. Perhaps better late than never, Morgan Stanley has jumped on board the U.

Morgan Stanley (MS) is optimistic about the S&P 500 index in 2025, raising its base case projection to 6,500. This represents growth of nearly 11% from current levels, reflecting the positivity about the market’s trajectory.