Bank of America Forecasts Potential ~390% Increase for These 2 ‘Strong Buy’ Stocks

As we head deeper into the fourth quarter, investors are making strategic moves to position their portfolios for the upcoming year. Identifying stocks with the potential for strong returns is crucial, and Bank of America has highlighted some solid choices for those seeking high-growth opportunities.

Bank of America’s analysts are looking across various sectors to identify stocks that are primed for growth. They are delving deep into the market to uncover shares that have the potential to soar in the near future.

With that in mind, we decided to take a closer look at two of Bank of America’s recent stock picks, both of which offer significant upside potential — one of them potentially delivering a gain of nearly 390%.

Werewolf Therapeutics (HOWL)

Starting off in the biotech sector, Werewolf Therapeutics is focused on developing novel immunotherapy drugs aimed at reducing the severe side effects commonly associated with cancer treatment. The company has developed a proprietary platform called PREDATOR to create conditionally activated molecules that stimulate both the adaptive and innate functions of the immune system. Werewolf has successfully advanced two drug candidates into clinical trials using this approach.

Werewolf’s lead drug candidate, WTX-124, is being developed to treat solid tumors and is currently undergoing a Phase 1 clinical trial. The company also has a second candidate, WTX-330, focused on treating advanced or metastatic solid tumors. Early data from both trials have shown promising results, and the company is expected to provide further updates in the near future.

Despite a decline in the stock price this year, Bank of America’s analyst Jason Zemansky believes that the pullback presents a buying opportunity. Zemansky remains optimistic about Werewolf’s potential, citing the company’s innovative platform and promising clinical data.

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Zemansky has a Buy rating on HOWL with a price target of $10, implying a potential upside of ~390% in the next 12 months. The broader analyst consensus on Werewolf Therapeutics is a Strong Buy, with an average price target of $12.50, suggesting a potential gain of ~510% over the next year.

Ibotta, Inc. (IBTA)

Shifting gears to the consumer tech sector, Ibotta is a shopping rewards company that offers cash-back rewards to users for making purchases through its app. The app allows users to claim rewards on a wide range of online and in-person purchases from various retailers. Since going public earlier this year, Ibotta has seen its stock price dip, prompting the company to initiate a share repurchase program to support the share price.

Analyst Curtis Nagle from Bank of America views Ibotta as a growth opportunity for investors, citing the company’s extensive network of brand partners and its unique value proposition in the digital promotions space. Nagle rates IBTA as a Buy with a price target of $110, implying a potential upside of ~64% in the next year.

The analyst consensus on Ibotta is a Strong Buy, with an average price target of $101.17, suggesting a potential gain of ~51% over the next 12 months.

Overall, both Werewolf Therapeutics and Ibotta present compelling investment opportunities, according to Bank of America’s analysis. Investors looking for high-growth stocks may want to consider adding these names to their portfolios.

Disclaimer: The opinions expressed in this article are solely those of the featured analysts. This content is intended for informational purposes only and should not be construed as investment advice. It is important to conduct your own research before making any investment decisions.

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