There are plenty of buying opportunities in the stock market before companies report third-quarter earnings, according to Bank of America. The bank said companies like DraftKings are firing on all cylinders. Other buy-rated stocks that Bank of America recommends and that were screened by CNBC Pro include: AstraZeneca, BWX Technologies, Grocery Outlet Holdings and Grab. BWX Technologies Analyst Ronald Epstein recently walked away from the nuclear component company’s recent investor day feeling more constructive on the stock. Bank of America sees BWX benefiting from “the vast opportunity set across the nuclear energy spectrum, the intersection of energy, economic and national security and two huge long-term markets within AI and defense fuels.” Epstein lowered his price target on the stock to $200 from $250, but said the stock remains a buy ahead of earnings in early November. “BWXT has a completely different financial profile now vs. its last investor day, improving metrics across the board with enhanced flexibility,” he said. Shares are down about 17% in 2026. DraftKings The sports betting company was recently upgraded to buy from hold at Bank of America. “We have been on the sidelines for DKNG for the past year given a challenging event path from prediction markets (PM) and material estimate risk,” analyst Julie Hoover said in a note. But the bank says there are multiple positive catalysts around the corner. “Now we see 1) PMs as a win-win, 2) less cannibalization risk, 3) bottoming Street [estimates], and 4) a favorable risk reward with the stock down -47% in the past year,” she wrote. The stock is down 44% this year but the “pullback creates [an] attractive opportunity,” Hoover added. DraftKings is scheduled to report quarterly earnings later this month. Grocery Outlet Holdings The grocery supply company is on an “EPS rebound,” according to Bank of America. Analyst Robert Ohmes recently upgraded Grocery Outlet to buy from neutral and said shares are too attractive to ignore. “We see more favorable risk/reward outlook from a return to attractively priced opportunistic merchandise and recently launched e-commerce parity pricing with DoorDash, Uber Eats and Instacart,” he said. The bank also said it’s impressed by management’s execution. “The renewed focus on op merch should be a powerful traffic & basket driver, helped by initiatives under new leadership in Store operations, Supply Chain & Marketing,” Ohmes said. Grocery Outlet shares are up 18% this year and the company will report earnings on October 21. Grab Holdings “Another strong quarter despite currency headwinds. We expect Grab to report a good set of numbers in 3Q26 with stable momentum across both mobility and delivery business despite softer macro, currency fluctuations and impact from higher oil prices.” Grocery Outlet Holdings “We see more favorable risk/reward outlook from a return to attractively priced opportunistic merchandise and recently launched e-commerce parity pricing with DoorDash, Uber Eats and Instacart … The renewed focus on op merch should be a powerful traffic & basket driver, helped by initiatives under new leadership in Store operations, Supply Chain & Marketing.” BWX Technologies “Key takeaways from the event were 1) the vast opportunity set across the nuclear energy spectrum, 2) the intersection of energy, economic and national security, and 3) two huge long-term markets within AI and defense fuels … BWXT has a completely different financial profile now vs. its last investor day, improving metrics across the board with enhanced flexibility.” AstraZeneca “We believe a robust pipeline progression positions AZN’s pipeline as best-in-class, potentially allowing premium long- term growth. We expect multiple product launches and PIII catalysts to drive meaningful sales growth at AZN.” DraftKings “We have been on the sidelines for DKNG for the past year given a challenging event path from prediction markets (PM) and material estimate risk … Now we see 1) PMs [prediction markets] as a win-win, 2) less cannibalization risk, 3) bottoming Street ests., and 4) a favorable risk reward with the stock down -47% in the past year … Pullback creates [an] attractive opportunity.”
Bank of America is bullish on these top stocks ahead of earnings
Oct 10, 2026
