from multiweek losing streaks to bear market rallies its been a roller coaster ride for markets this year as investors weigh the risks of a more aggressive monetary policy and a growing chorus of recession warnings major us indexes saw big bounces in tuesday trading reversing last weeks declines but remained deep in the red this year the s  p 500 and nasdaq composite are down more than 20 and 24 respectively this year putting them in bear market territory the dow jones industrial average is down 166 in the same period while investors may be focused on bigger and more wellknown names in the market bank of america believes some small and midcap stocks present an opportunity for investors bank of americas list of 26 best smallandmid cap ideas for 2022 have an average potential upside of 60 over the next 12 months the banks strategists led by jill carey hall said on june 21 inflation hedges the bank noted that stocks with defensible margins and pricing power have been rewarded in an environment of rising interest rates and soaring inflation stocks that are well positioned to thrive in such an environment include food delivery platform doordash  which the bank says is resilient to raw goods and food price inflation such price pressures can even be accretive to the doordashs margins the strategists said they forecast that margins will improve in 2023 the bank has a price target of 90 on the stock which represents a 429 potential upside to the stocks closing price of about 63 on june 21 the bank also likes illinoisbased option care health as the least exposed to labor cost pressures the bank also expects the stock to see further upside from future deals as it continues to deploy its improved free cash flow shares of the company closed at around 26 on june 21 implying a potential upside of 462 to the banks price target of 38 californiabased aircraft leasing firm air lease is another of the banks top picks bank of america expects the company to benefit from a recovery in commercial aviation with the worst of the pandemic now in the past the company will also benefit from rising interest rates because of its ability to pass on higher cost of debt while seeking higher premiums from lower investment grade lessees the strategists said the bank has a price target of 55 on the stock an implied upside of 774 to its closing price of around 31 on tuesday recessionresistant names bank of americas list also includes several stocks it thinks are well positioned to weather a recession tech consulting firm gartner is one such stock the bank described it as a high quality and defensive name with sales margins and earnings upside the company enjoys strong demand for its services while its core research sales are relatively recession resistant according to the bank the banks price target of 340 implies a potential upside of 459 to the stocks closing price of around 233 on june 21 bank of america also likes discount retailer ollies bargain outlet as a potential beneficiary of a shift in consumer behavior the bank believes consumers will face increasing financial pressure with the rolloff of government support programs and easing inflation we expect this will drive tradedown to ollies where we found that prices are on average 36 below walmart and amazon hall said the bank has ascribed a price target of 75 on the stock representing a potential upside of 25 to its closing price of around 60 on tuesday electronics manufacturer jabil is another bank of america favorite the bank says the company is levered to endmarkets that are seeing secular growth and which are generally recession proof the company counts apple as a significant customer the bank noted that jabil has been able to expand revenues and margins despite supply chain challenges and inflation while passing on cost increases to customers bank of americas price target of 82 on the stock implies a potential upside of 519 to the stocks closing price of around 54 on june 21