Bank of America

is a good stock, since it is trading $1 below book value at $23.50 and the payout ratio is 15% of earnings, said C.J. Brott, founder of Capital Ideas, a registered investment advisory in Dallas.

"As interest rates rise and the economy improves, they should be able to raise the dividend and buy in more stock," he said. "Our one year target price is 1.3 times book or $32."

Brott owns shares personally and in his company. Recently, Bank of America has been in the news because of a move by Warren Buffett.