Goldman Sachs is flagging trouble for stocks in 2027, but the near-term picture still looks good for investors.

• Big tech's AI spending has barely hit earnings yet, but the write-offs on all that hardware roughly double next year and will eat into profits.
• Tech companies also booked huge paper gains on their stakes in other firms, which flattered earnings and won't repeat.
• Stocks look expensive by long-term measures, and today's earnings strength is being propped up by things that fade.
• Hardware stocks like Nvidia, AMD, and Meta still look cheap next to their profits, with money raised by Google and SpaceX flowing straight into chips.
• Borrowed money in the market is unusually low, meaning there is no euphoria yet and recent gains were not just a squeeze.

Outlook: The next six months still look strong, with the S&P 500 seen climbing further before the 2027 drag arrives.