As October nears its end, Oppenheimer is eyeing some stocks that it thinks are slated for gains over the next year. October has historically been a volatile month for stocks, and this year's period has been no different. Both the S & P 500 and the Dow Jones Industrial Average posted their third losing session in a row on Wednesday.
That said, the broad market index as well as the Nasdaq Composite are still on track to close out the month in the green. These moves come amid a strong earnings season so far. To date, 32% of the S & P companies have reported, and their earnings and revenue have beaten analysts' expectations by 6% and 1.
3%, respectively, per LSEG. Their performance is also much better than last year's period, with earnings up 4.3% and revenue up 4.
2%. Looking ahead to November, Oppenheimer has updated its top stock ideas list, which features additions such as CarMax , Mastercard and Atlassian . The investment bank also removed names such as Dick's Sporting Goods , International Flavors & Fragrances and Uber .
Below are some of the stocks on the list. Shares of global health company Cigna have seen gains of nearly 7% in 2024 but have fallen almost 8% this month. Analyst Michael Wiederhorn notes that the name usually trades at a discount compared to its peers, which leaves room for potential upside from multiple expansion in the future.
More notably, the analyst thinks the market has undervalued the opportunity from the company's $54 billion purchase of Express Scri.