As earnings season heats up, Bank of America thinks certain stocks could see big swings in the day after their report, creating an opportunity for investors if they know where to look. where. Bank of America looked at stocks with the highest levels of implied volatility when releasing their earnings. The implied volatility of a stock is calculated using the market price of its options. The metric reflects the extent to which the market predicts stock prices to rise or fall. High volatility indicates a potential move higher. So far, more than 90 companies on the S&P 500 have reported their fourth-quarter earnings. From these companies, 68% of them posted better-than-expected results, according to FactSet. Tech giant Microsoft is one of the latest to join this group, posting better-than-expected earnings per share on Tuesday, despite posting slowing revenue growth. However, that beat rate is below the historic average of 79%, according to Nick Raich of The Earnings Scout. Here are some stocks that, according to data from Bank of America, could see some big swings. One stock that made the list is Tractor Supply, with Bank of America noting that the options market is signaling a potential gain of 4.7% in both directions after earnings. Analysts polled by Refinitiv expect double-digit earnings and revenue growth from the company. Tractor supply is down more than 5% year-to-date but has increased by more than 9% in the past six months. It is expected to report on Thursday before the bell. Shares of Mastercard could also be strong on earnings, with valuations in the options market hovering 3.8% in either direction. The company’s shares are up 9.03% year-to-date. KeyBanc upgraded Mastercard stock earlier this month from industry weighting to overweight, citing the company’s “growth durability.” Mastercard is expected to report earnings on Thursday. Valero Energy, the second-largest US refiner by capacity, is also scheduled to release earnings on Thursday. Bank of America estimates refinery stocks could fluctuate 4.2%. Analysts have mixed opinions on the stock’s upcoming earnings — JP Morgan and Morgan Stanley rate the stock a buy, while Goldman Sachs rates the stock a sell, according to TipRanks. Valero Energy shares are up 12.4% year-to-date on strong gasoline and diesel demand. VLO YTD Climbs VLO in 2023 Bank of America also predicts big swings in Southwest Airlines shares, with options market valuations set to rise 4.4%, in both directions, after the airline does not release earnings on Thursday. The airline company has made headlines in recent weeks thanks to the holiday crisis, during which it lost $825 million. Intel could also see a big move after earnings. Bank of America noted that the stock’s implied volatility reflects a 7.6 percent swing when the company releases its quarterly report on Thursday after the bell. – Michael Bloom of CNBC contributed reporting.