Analysts at JMP Securities on Monday offered some negative commentary on U.S. banking giants Bank of America Corp (BAC) and Citigroup Inc. (C).

The firm said it downgraded BAC from “Market Perform” to “Underperform” with a $5.50 price target, suggesting a 21% downside to the stock’s Friday closing price of $7.02. JMP Securities noted a stricter Volcker rule in Washington could hamper banks’ performance.

Similarly, the analyst also cut its rating on C to “Underperform” with a $23 price target. That target implies a potential 11% downside for Citi’s shares, which closed on Friday at $26.01.

BAC shares were mostly flat in morning trading Monday, while C shares posted modest gains.

The Bottom Line
Shares of Bank of America (BAC) have a .57% dividend yield, based on Friday’s closing stock price of $7.02. The stock has technical support in the $6 price area. If the shares can firm up, we see overhead resistance around the $8-$9 price levels. Shares of Citigroup (C) have a .15% dividend yield, based on Friday’s closing stock price of $26.01. The stock has technical support in the $23-$25 price area. If the shares can firm up, we see overhead resistance around the $30-$32 price levels.

Bank of America Corp (BAC) and Citigroup Inc. (C) are both currently rated “Neutral” by Dividend.com.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.