Goldman's (NYSE:GS) Top Banks are Citigroup (NYSE:C) and JP Morgan (NYSE:JPM)

Commenting on the banking sector in general, as interest in dividends from the financial institutions are starting to be talked about, Goldman Sachs (NYSE:GS) said in general, their two favorite banks at this time are JP Morgan (NYSE:JPM) and Citigroup (NYSE:C), both of which are on the "Conviction Buy" list of Goldman.

That isn't to say they're the favorite among banks that could raise dividends soon, as Goldman sees Citigroup still about a year away from implementing a dividend.

In the case of JP Morgan, Goldman sees them returning capital to shareholders in the first quarter, probably offering a quarterly dividend in the range of $0.15 to $0.20.

Citigroup closed Thursday at $4.30, rising by $0.11, or 2.63 percent. JP Morgan ended the trading session at $39.66, gaining $0.48, or 1.23 percent.