BofA Flags 3 Surprise Stocks to Outperform Amid Earnings Season Frenzy

With the current earnings season in full swing, Bank of America has highlighted three unexpected breakout stock picks that could turn heads. While Wall Street's attention is firmly fixed on the household tech giants, some analysts are quietly flagging lesser-known stocks that could catch investors off guard.

The trio of stocks identified by BofA includes the usual suspect, Amazon, as well as the more surprising AppLovin and Oddity Tech. This unexpected selection suggests the bank's analysts have identified unique opportunities that may not be on most investors' radars.

Despite the market's high expectations, the broader earnings season has been largely positive so far. More than 80% of S&P 500 companies have topped forecasts on both sales and profits, per FactSet. Moreover, the Magnificent 7 tech leaders, including the likes of Apple, Amazon, and Microsoft, are expected to deliver an estimated year-over-year earnings growth of over 14%, significantly outpacing the rest of the index.

As the earnings season enters its crucial second wave, with Apple, Amazon, Microsoft, and Meta set to take center stage this week, investors will be closely watching to see if these tech titans can live up to the high expectations.