According to Bloomberg, Wells Fargo equity strategist Gina Martin Adams cut her 12-month target for the S&P 500 by 6% to 2,100 from 2,245.
The S&P 500 opened at 1,937.90 on Thursday, and so Martin Adams' target implies that she sees stocks rallying about 8%.
But we now have yet another analyst at a major firm lowering their expectations after the year started on a sour note.
Bloomberg notes that Martin Adams cut her target due to lower oil prices and a flatter yield curve in anticipation of slower economic growth.
According to Martin Adams, the main thing that can drive stocks higher is a recovery in earnings.
Corporate America is going through an earnings recession, and fourth-quarter profits for S&P 500 companies are on track to fall 4.5%, according to RBC Capital Markets.
Martin Adams wrote that "commodity-sensitive" suspects like the energy sector would continue to limit market returns. If you excluded the energy sector, S&P 500 profits would be set to rise 1.4%