( Updated with stock price moves.) NEW YORK ( TheStreet) -- Bank of America ( BAC) shares reversed course and were one of the losers of the financial sector Tuesday, giving up early gains that came after an analyst said the bank's shares could double in price. Bank of America slumped after Rochdale Securities analyst Dick Bove said in a research note Monday that the bank's business model is "deeply flawed but this should not stop the stock from potentially doubling in price." Bove argues that in a normal economy, Bank of America would have a reported a loan loss provision of about $10 billion in 2009, compared to the $48.6 billion the bank actually reported for last year. The difference would be worth approximately $2.95 to $3 per share, Bove argues, and the stock could more than double from its current level assuming it could sell at 12 times those earnings. However, Bove says that Bank of America "has not demonstrated that it can run itself effectively through cycles. What shareholders need is Bank of America's point of view backed by solid analysis of the markets it participates in. This has not been forthcoming and statements that no changes are necessary only deepen investors' belief that they should rent this stock for the earnings recovery and not own it." After trading higher for most of the session, Bank of America shares were down 14 cents, or 0.8%, to $16.57. Through the first two months of 2010, the stock has gained more than 10%. Other U.S. bank stocks pared gains after reports that key senators were nearing a deal on legislation to overhaul banking regulations which includes creating a new consumer-protection division within the Federal Reserve. The Wall Street Journal reported that Democratic Sen. Christopher Dodd, chairman of the banking Committee, and Republican Sen. Bob Corker of Tennessee are selling the agreement to other members of their parties, citing comments from Senate aides. Dodd is likely to introduce the bill in the Senate later this week, but it remains uncertain whether the White House will accept the proposal. Among U.S. bank stocks trading to the upside Tuesday, Morgan Stanley ( MS) added 1.7% to $28.68, Goldman Sachs ( GS) was up 1.3% to $158.52, and Citigroup ( C) rose 0.3% to $3.40. JPMorgan Chase ( JPM) slipped 0.5% to $41.64.