Adami says Jefferies( JEF), Knight Capital( NITE) and Raymond James(RJF) will be the winners.

Skinner likes asset-manager Knight Capital Group (NITE) because it's undergoing a metamorphosis with chief executive officer Tom Joyce at the helm. "It is exiting low-margin businesses and enhancing the company's service offering by adding asset classes [now bonds, currency, international markets...not just U.S. equities] by acquiring faster-growing, high-margin boutiques," he says, adding that his average cost on the stock is 15.27. It is now around 18. Knight has three main assets: a global-markets electronic and voice trading platform, an interest in a hedge fund, and cash. Skinner thinks it increasingly provides an attractive alternative source of liquidity compared to the large global exchanges. "While results are difficult to predict with precision, given the volatility of market volumes quarter to quarter, NITE could generate on the order of $220 million in Ebit for 2008," he adds.

Goldman said it is downgrading Knight Capital (NITE) to Neutral from Buy, based on weaker Deephaven results. See recent strong growth in Global Markets volumes slowing. Price target at $20.

Take a look at online brokers Charles Schwab (SCHW), TD Ameritrade (AMTD), and Knight Capital (NITE), Pete Najarian said.

"Knight Capital is on the trader radar. The stock traded four times its average daily volume and NITE was among the most searched symbols on the internet."

Robot trade

undervalued

Knight Capital (NITE) was upgraded from Underperform to Market Perform, Keefe, Bruyette & Woods said. $15 price target. Stock has absorbed some recent bad news, and increased market volatility should help fourth quarter earnings.

Knight Capital Group recently announced a $505 million dollar buyback which adds to its prior plan.

Knight Capital Group Inc., which executes trades for institutional investors, said Wednesday Citadel Investment Group LLC bought a minority stake in the company's Direct Edge ECN unit.

6.7

shorted too often

month too high