As the third quarter of 2026 begins, Bank of America has provided a list of stock picks that could enhance investor returns following a strong second quarter where the S&P 500 rose nearly 15% and the Nasdaq Composite surged 21.4%.
Among the highlighted stocks, Spotify is noted for its potential to increase due to new products and pricing strategies, with analyst Jessica Reif Ehrlich setting a price target of $685, indicating a 41% upside from its recent close.
Visa is recommended as a key player in the transition from cash to electronic payments, with analyst Matthew O'Neill projecting a 13% upside to a target of $410, supported by its strong revenue growth and buyback capabilities. Walmart is also favored for its ability to attract affluent consumers, with analyst Christopher Nardone suggesting a price target of $144, reflecting a potential 29% upside.
Other stocks mentioned include IBM, JPMorgan Chase, and Snowflake, indicating a diverse range of sectors being considered for investment