These stocks have plenty of upside as June approaches, Bank of America says
With June rapidly approaching, analysts at Bank of America said there is a slew of top stock-buying opportunities. The firm said that companies like Visa have plenty more room to run. Other buy-rated stocks Bank of America analysts are bullish on include Zeta Global , Sprouts Farmers Market, United Rentals and Citigroup. Sprouts Farmers Market The grocery store chain is firing on all cylinders, the firm said. Analyst Robert Ohmes recently came away from investor meetings convinced that the company is on the right track as sales and margins remain robust. “We believe SFM’s targeted approach to price and promotions, including initial price reductions on select SKUs [stock keeping units] such as coffee & other essential items should deliver greater value on the categories and drive traffic from the less engaged customer cohort,” he said. The firm also raised its price target to $100 per share from $92. In addition, Ohmes said that the company’s foray into organic items along with its generous loyalty program has upside potential. The stock is up more than 8% in 2026. United Rentals Analyst Michael Feniger is doubling down on shares of United Rentals following a series of investor meetings he held with the equipment rental company. “We came away with the view that the management team feels confident heading into construction season around its growth profile, costs profile, and M & A profile,” he wrote. Feniger said the company’s margin profile is attractive and that the company has a differentiated offering, which gives it a leg up against competitors. “In our view, the bigger picture takeaway — URI’s competitive position is strengthening with national accounts even as other players are targeting growth in gen rent & dirt moving,” he said. Shares are up almost 16% this year. Feniger said that the company is “built for the moment.” Zeta Global “Misunderstood & Mispriced,” analyst Matt Bullock said of the digital ad company. The firm recently reinstated coverage of the stock with a $24 per share price target. “Our positive view is driven by Zeta’s ability to consistently capture share of digital marketing and advertising budgets,” the analyst wrote. Bullock said Zeta has a differentiated offering and is well- positioned for multiple expansion. “Zeta sits in a rare position between adtech and martech [marketing technology], operating like a mini walled garden by pairing proprietary consumer data with direct ad‑tech execution,” he said. The stock is up more than 40% over the last 12 months. Citigroup “Investor day reinforces our view that the stock should re‑rate toward 1.5x P/TBV [price to tangible book value] over the next two years as confidence builds in its improving competitive positioning, profitability, and growth outlook. … We see the risk/reward skewed to the upside given the combination of relatively low investor expectations, sub TBV valuation and strategic actions focused on reversing nearly 20 years of muted shareholder returns.” Sprouts Farmers Market “We believe SFM’s targeted approach to price and promotions, including initial price reductions on select SKUs such as coffee & other essential items should deliver greater value on the categories & drive traffic from the less engaged customer cohort. … SFM offers breadth & depth across attributes as foraging team focuses on the leading edge of products & attracts vendors who want to test their emerging health & wellness brands.” United Rentals “We came away with the view that the management team feels confident heading into construction season around its growth profile, costs profile, and M & A profile. … In our view, the bigger picture takeaway — URI’s competitive position is strengthening with national accounts even as other players are targeting growth in gen rent & dirt moving.” Zeta Global “Misunderstood & Mispriced. … Our positive view is driven by Zeta’s ability to consistently capture share of digital marketing and advertising budgets. … Zeta sits in a rare position between adtech and martech [marketing technology], operating like a mini walled garden by pairing proprietary consumer data with direct ad‑tech execution. … Accelerating growth/compounding [free cash flow] warrants premium.” Visa “Incrementally bullish following investor meetings with CFO [Chris] Suh in the UK. … We view Visa as a solid business with a strong and defensible moat with strong fundamentals. On our estimates, Visa is well positioned to deliver double digit revenue and EPS growth over the medium term. The attractive margin profile (50%+) is defensible and should garner a premium multiple.”
