Bank of America says there are several technology stocks that have more room to run heading into their next quarterly results. The investment bank sees companies like Spotify Technology offering plenty of upside. Other buy-rated stocks that Bank of America recommends and that were screened by CNBC Pro include: Amphenol, Box, Camtek and Coupang. Box Don’t sleep on this undervalued AI winner, according to analyst Matt Bullock. “We think Box is one of the most underappreciated AI beneficiaries in application software,” he wrote recently, calling the stock a top pick. The bank also raised its price target on Box shares by 19%, to $50 from $42, and said the company is too attractive to ignore ahead of its next scheduled earnings later this quarter. “It’s in the early stages of a multi-year growth acceleration, and trading at a significant discount to peers,” he said. Box shares are up 32% this year, and 66% in six months. Amphenol Another robust quarter ahead, analyst Wamsi Mohan, wrote earlier this week ahead of the electronic connector manufacturer’s quarterly report. “We continue to see APH as a beneficiary of AI infra investments across both GPU- and custom-accelerator-based architectures,” he wrote. Mohan also says IT data demand remains robust, which benefits Amphenol. “Beyond AI, we expect most end markets to remain healthy & see continued room for upward estimates revision,” he said. Shares are up 17% this year. The company will report its results on October 28. Spotify Technology Analyst Jessica Reif Ehrlich said tune out the “noise” and buy Spofitfy now. “We firmly believe that Spotify has a long runway for growth, including ramping advertising, subscriber growth, pricing and new products,” she recently wrote. The stock is down almost 9% this year, but the bank says AI fears are overdone. “In addition, while AI-related narratives may be difficult to disprove, we continue to view Spotify’s scale, engagement, and ecosystem advantages as enviable and difficult to replicate,” she went on. Spotify will report quarterly earnings on October 22. Camtek “Reiterate Buy, $200 PO, now on 29x CY28E PE given CAMT’s leverage to multi-year AI advanced packaging growth where it is gaining share, and diversifying product/market drivers … We like Camtek’s strong product portfolio, share gains, and exposure to key growth markets across advanced packaging for AI-driven high performance logic and memory.” Box “We think Box is one of the most underappreciated AI beneficiaries in application software … It’s in the early stages of a multi-year growth acceleration, and trading at a significant discount to peers … Box’s AI capabilities transform enterprise content from a passive asset into a critical input for enterprise AI systems, agents, and tooling.” Coupang “We expect Coupang’s 3Q revenue to be slightly better than consensus estimates, at US$10.18bn, mainly as we marked to market the sharply strengthening KRW in Aug Sept. We estimate adj EBITDA of US$151mn, slightly softer than consensus estimates of US$157mn.” Spotify “”Tuning out the noise … In addition, while AI-related narratives may be difficult to disprove, we continue to view Spotify’s scale, engagement, and ecosystem advantages as enviable and difficult to replicate … We firmly believe that Spotify has a long runway for growth, including ramping advertising, subscriber growth, pricing and new products.” Amphenol “We continue to see APH as a beneficiary of AI infra investments across both GPU- and custom-accelerator-based architectures … Beyond AI, we expect most end mkts to remain healthy & see continued room for upward estimates revision.”
These tech stocks are a buy ahead of their earnings reports, Bank of America says
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