Bank of America says Nvidia and these other stocks are on sale

Bank of America named several stocks that it said are undervalued.

Skip NavigationJoin ICJoin ProLivestreamMenuBank of America recently named several companies that it said are intriguing buying opportunities. The Wall Street investment bank said that investors should buy any weakness in stocks including Nvidia. Other stocks rated buy at Bank of America and screened by CNBC Pro include: Thor Industries, Lyntris, Natural Grocers by Vitamin Cottage and Dutch Bros. Natural Grocers by Vitamin Cottage The organic and specialty grocer is “premium quality without the premium price,” analyst Vicky Liu said in initiating research coverage of the stock with a buy rating. Liu cited multiple catalysts that could send the stock higher, ranging from margin expansion to product affordability and rapid expansion. The bank out a $35 price target on the shares. “With the stock trading at 13x F27E EPS, we believe the market underestimates NGVC’s growth runway & margin potential,” she said. The stock is more than 5% over the past three months but ahead almost 19% in all of 2026. Dutch Bros Buy the weakness, analyst Sara Senatore said of the coffee chain. “We think concerns about near term same-store sales hurdles and medium- to longer term competition from other drive through native concepts have weighed disproportionately on valuation,” she said. The bank said the coffee category is one of the most rapidly growing segments in the restaurant industry. “The tailwind from an increasing share of consumers reporting past week espresso based beverage consumption (43% in 2025 vs 37% in 2020) should persist,” Senatore went on. Shares are down 43% in the past three months. Lyntris The connectivity systems defense company is best positioned for rising demand, according to analyst Ronald Epstein. Bank of America was a joint book-running manager for the Lyntris IPO on Aug. 18. “Sensing strong upside opportunities,” Epstein wrote in recently initiating research coverage with a buy rating. Bank of America sees “market tailwinds” across the company’s three main businesses: space, maritime and air defense. “As a merchant supplier of mission-critical componentry and software, LYNX is well aligned to ramping defense investment across the U.S. and international allies,” he went on to say. The stock is down 8% in the past month. Natural Grocers “Premium quality without the premium price. … .A value-oriented grocer with unit growth & margin upside … With the stock trading at 13x F27E EPS, we believe the market underestimates NGVC’s growth runway & margin potential.” Dutch Bros “We think concerns about near term same store sales hurdles and medium to longer term competition from other drive through native concepts have weighed disproportionately on valuation … The tailwind from an increasing share of consumers reporting past week espresso based beverage consumption (43% in 2025 vs 37% in 2020) should persist.” Lyntris “Sensing strong upside opportunities. … .As a merchant supplier of mission-critical componentry and software, LYNX is well aligned to ramping defense investment across the US and international allies … Favorable end market tailwinds across segments.” Thor Industries “We would characterize THO’s top-line results as best case given the tough industry backdrop while supplier costs continue to pressure gross margins … We rate THO at Buy given outlook for market share recapture, margin self-help initiatives, and a trough in recreational vehicle (RV) industry unit sales.” Nvidia “Our $350 PO is based on 22x CY27E PE ex cash, within NVDA’s historical 15x-56x forward year PE range, which we believe is justified by NVDA’s leading share in fast-growing AI compute/networking markets, offset by lumpiness in global AI projects, cyclical gaming market, and concerns around access to power.”Read More

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