Talk about a contrarian viewpoint. Neil Hennessy, chief executive officer of the Hennessy Funds and best known for overseeing the “Dogs of the Dow” fund, foresees the Dow Jones Industrial Average rising as much as 15% by the end of the year to 15,000.

While others are foretelling a recession sparked by defaults in subprime loans and a deteriorating credit market, Hennessey said, “I don’t see anything to hold back this market except excuses. Earnings are increasing, there are plenty of jobs out there, and the economy is still in great shape.”

Indeed, the economy grew 4% in the second quarter, buoyed by business spending and exports. In the first quarter, it rose a scant 0.6%. Hennessey said that the Dow is undervalued because the average price-to-sales ratio of companies in the index is $1.27, whereas he values it at $1.50.

“No one is believing that we are in a bull market, but just take a look at the numbers out there,” he said.

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