NEW YORK (TheStreet) -- Shares of E*Trade Financial Corp. (ETFC) - Get Report are up 3.58% to $27.93 in afternoon trading Friday after JMP Securities increased its price target to $31 from $28, while reiterating its "outperform" rating. 

"'Excess' capital utilization is underway at E*Trade Financial, paving a path for long-term earnings power expansion," JMP Securities said. 

Following the financial services company debt restructuring earlier in the week, the firm increased its 2015 and 2016 earnings estimates to $1.17 and $1.64 per share from $1.15 and $1.60 per share, respectively, to reflect lower interest expense. 

"We still see more opportunity for capital utilization announcements in the coming months, which could serve as further positive catalysts, while we believe the long-term trajectory of earnings still supports a higher long-term implied fair value," the firm noted. 

Separately, TheStreet Ratings team rates E TRADE FINANCIAL CORP as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:

"We rate E TRADE FINANCIAL CORP (ETFC) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations, expanding profit margins, solid stock price performance and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income."

Highlights from the analysis by TheStreet Ratings Team goes as follows:

• The revenue growth came in higher than the industry average of 12.8%. Since the same quarter one year prior, revenues slightly increased by 0.2%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.
• Net operating cash flow has increased to $333.00 million or 45.68% when compared to the same quarter last year. In addition, E TRADE FINANCIAL CORP has also vastly surpassed the industry average cash flow growth rate of -6.01%.
• 44.88% is the gross profit margin for E TRADE FINANCIAL CORP which we consider to be strong. It has increased from the same quarter the previous year. Despite the strong results of the gross profit margin, ETFC's net profit margin of 8.07% significantly trails the industry average.
• E TRADE FINANCIAL CORP's earnings per share declined by 30.0% in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, E TRADE FINANCIAL CORP increased its bottom line by earning $1.00 versus $0.29 in the prior year. This year, the market expects an improvement in earnings ($1.11 versus $1.00).
• The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. When compared to other companies in the Capital Markets industry and the overall market, E TRADE FINANCIAL CORP's return on equity is below that of both the industry average and the S&P 500.
• You can view the full analysis from the report here: ETFC Ratings Report