Friday's Financial Winners & Losers

Ameritrade and E*Trade get another boost from hedge-fund pressure to merge.
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Financial stocks lingered mostly in positive territory along with the broader market Friday, and among the winners were online brokers

TD Ameritrade

(AMTD) - Get Report

,

E*Trade

(ETFC) - Get Report

as well as broker

Charles Schwab

(SCHW) - Get Report

.

SAC Capital Advisors and Jana Partners

once again

pressured Ameritrade

to pursue a merger immediately

with either E*Trade or Schwab. The hedge funds together own an 8.4% stake in Ameritrade and are looking to purchase substantially more, as they recently disclosed. Ameritrade jumped 3.1% to $20.61; E*Trade gained 1.9% at $24.65; Schwab added 0.6% to $21.34.

Genworth Financial

(GNW) - Get Report

rose 2.3% to $35.42 after an analyst with Morgan Stanley upped the Richmond, Va., life insurer to overweight from equal weight. He set a $42 price target, saying pessimism regarding weaknesses in the company -- particularly, in its mortgage guaranty and long-term care insurance units -- is weighing far too heavily on the stock price.

UBS meanwhile added $5 to

Fannie Mae's

(FNM)

price target to $78, and maintained its buy rating, as the mortgage lender announced it's on track to become a current filer by early next year. It has lagged behind while restating earnings for 2001 through 2004. Shares ticked up 0.5% to $63.74

American Equity Investment Life

(AEL) - Get Report

rose 1.2% to $11.73 after announcing that May annuity sales climbed 7.7% sequentially to $225.2 million. The Iowa-based insurer says this is the first time since 2005 that it brought in more than $200 million for two consecutive months.

Also climbing were insurer

MBIA

(MBI) - Get Report

and brokers

Morgan Stanley

(MS) - Get Report

and

Bear Stearns

(BSC)

. Each tacked on 1% or more to support the

NYSE

Financial Sector Index, which was recently 0.2% higher at 9,668.99. The KBW Bank Index performed about as well.

On the downswing, however, were a couple of stocks hit with negative analyst calls.

First American

(FAF) - Get Report

, which performs mortgage services and sells insurance, was cut to equal-weight from overweight by Lehman Brothers. A.G. Edwards meanwhile lowered transaction processor

Fidelity National Information Services

(FIS) - Get Report

to hold from buy.

First American slid 3.1% to $51.57; Fidelity traded down 1.5% to $51.91.

Janus Capital

(JNS)

edged lower after filing to sell $750 million in senior bonds after the close Thursday. The Denver asset manager first announced the offering on Tuesday. Shares dipped a nickel to $26.69.

Also in the red, with losses of 1% or more, were

IntercontinentalExchange

(ICE) - Get Report

, mortgage lender

Freddie Mac

(FRE)

, and credit-ratings firm

Moody's

(MCO) - Get Report

.