Goldman Sachs Boosts European Stock Targets on Strong Earnings

Goldman Sachs has raised its target for Europe's STOXX 600 index to 695 points, citing strong corporate earnings and resilient economies. This represents a 5.5% upside from current levels.

The Wall Street brokerage expects the pan-continental index to reach this new target due to soaring energy and materials profits offsetting softer demand elsewhere in Europe.

According to LSEG data, companies in the STOXX 600 are expected to report aggregate earnings growth of 23.4%, based on reported results from 268 companies and estimates for those yet to publish results.

Goldman Sachs also raised its 12-month target for Britain's FTSE 100 to 11,400, implying an upside of about 5.8% from current levels.