Bank of America has highlighted several stocks that investors can purchase to enhance their returns as the third quarter begins, including a streaming stock with double-digit upside potential:
The stock market wrapped up a solid second quarter of 2026. The S&P 500 ended the period nearly 15% higher, while the Nasdaq Composite surged 21.4% for its best quarterly performance since 2020:
To prepare investors for the third quarter, Bank of America shared a list of stock picks for the period, which includes names from various sectors, including retail, consumer goods, technology, and payments:
Spotify
Shares of the music and podcast streaming platform could climb in the near term due to a combination of catalysts, including its new products and pricing tiers for its subscription service:
“Spotify has laid out an impressive compelling product roadmap and attractive financial targets, and now the focus will turn to execution,” analyst Jessica Reif Ehrlich said:
She rates Spotify a buy, with a target of $685 on shares, suggesting about 41% upside from Thursday's close:
Visa
Visa offers investors a way to play the shift from cash to electronic payments, and its shares could climb in the third quarter:
“Visa is our top way to own the secular cash-to-electronic shift: a durable double-digit revenue/teens-earnings per share compounder with a wide debit and credit moat,” analyst Matthew O'Neill said:
O'Neill rates Visa as buy, with a $410 price target suggesting 13% upside from Thursday's close:
Walmart
The superstore stock has plenty of runway as Walmart's efforts to court more affluent consumers begin to pay off:
“We remain convinced that the current backdrop consisting of strength from the upper income consumer and some caution from the value-seeking consumer is conducive for Walmart to accelerate share gains,” analyst Christopher Nardone said:
Nardone rates Walmart as buy, with a $144 price target implying nearly 29% upside from Thursday's close:
Other names on the list include IBM, JPMorgan Chase, and Snowflake:
