NEW YORK (TheStreet) -- Bank of America (BAC) announced after the Thursday market close it will take a $400 million legal charge. These types of announcements tend to create buying opportunities the next day, Tim Seymour, managing partner of Triogem Asset Management, said on CNBC's "Fast Money."
This isn't devastating news for BAC, Seymour said, but investors should be cautious with the stock moving into previous resistance. His top pick is Citigroup (C) . Pete Najarian, co-founder of optionmonster.com and trademonster.com, also likes Citigroup but said shares of Bank of America are a buy on this pullback and could approach $20 by the end of the year.
"Bank of America is a great buying opportunity if it declines on Friday," said Karen Finerman, president of Metropolitan Capital Advisors.
If investors are looking for banks with only U.S. exposure but aren't plagued with litigation issues, they should buy Wells Fargo (WFC) and U.S. Bancorp. (USB) , according Guy Adami, managing director of stockmonster.com.
Qualcomm (QCOM) slid 9% after dropping three "grenades" on investors, according to Chris Rolland, an analyst at FBR Capital Markets. He has an outperform rating on the stock and an $83 price target.
Management's discussion of the separate investigations from the Federal Trade Commission, European Union and Chinese government were the three "grenades," Despite all this, the stock is a buy below $70 because the company is a "wonderful franchise" that should outperform in the future, the analyst said.
"I definitely agree," Seymour said. The company may need a few quarters to turn around its operations but Qualcomm is a "very, very good company," the bad news is priced in and the stock is near support.
If investors want exposure to the chip sector but don't want to own Qualcomm, they should buy NXP Semiconductors (NXPI) , Finerman said.