Tom Lee: AI in the US stock market still has room to rise, and the S&P 500 could reach 7700 by the end of this year

Tom Lee stated in an interview with CNBC today that although the U.S. stock market has reached record highs, the valuations of leading stocks (especially those related to AI/semiconductors) remain reasonable.

Tom Lee mentioned that the forward price-to-earnings ratio for semiconductor/technology leading stocks is about 22 times, which is far lower than the historical highs of the past 20 years. The demand in related industries is still experiencing explosive growth, so "there is still room for growth, and the S&P 500 could reach 7700 or higher by the end of this year."