E*Trade Woes Renew Buyout Chatter

E*Trade Financial's(ETFC Quote) writedown woes that sent the stock spiraling Monday have renewed analyst speculation about the possibility the online broker could sell itself.

E*Trade shares were rebounding almost 14% on Tuesday, after dropping nearly 60% on a string of bad news Monday and late Friday, including a Citigroup downgrade and accompanying note that said the company's bank was in danger of failing and the company's warning that it expected writedowns to its $3 billion asset-backed securities portfolio.

While bargain hunters were returning to the stock Tuesday, analysts were focused on repercussions for the business -- including the possibility of a sale. ...