UPDATE: Barclays Upgrades E*Trade

In a note released Friday, Barclays upgraded

from Underweight to Overweight and raised the price target from $20 to $24. Barclay's analyst Kenneth Hill described the environment surrounding E*Trade amid the high frequency trading debate. Hill notes that although eBrokers have fallen 10 percent compared to two percent for the S&P 500 month-to-date, "The risk / reward reflected in the current share price provides a more favorable investment opportunity". Though Hill acknowledges the high-frequency trading debate will continue on, he remains confident in E*Trades outlook and stated, "For ETFC, relative to last year, we are incrementally positive on a story that contains far less operational risk, has displayed sustainably-strong performance in its trading business, and has significantly improved its capital profile (providing it opportunity to further enhance earnings down the line)." In the premarket session, shares of E*Trade were down 4.25 percent at $20.28.