Lipid Sciences' (LIPD) stock rose after the company said it entered an agreement with shareholders for a private placement. The drugmaker received $6.3 million in proceeds with the potential to raise an additional $2.3 million upon the exercise of warrants. Shares were up 12.5% to $1.44.

Tapestry Pharmaceuticals (TPPH) jumped after research firm Vista Partners initiated coverage of the company. According to biotech analyst Ross Silver, Tapestry has a "strong and experienced executive management team and scientific advisory board with a proven track record of bringing drugs through [Food and Drug Administration] approval and into the marketplace." The company recently closed a $25.5 million financing deal to bring its top experimental cancer drug into phase II clinical trials. Still, Tapestry might not have adequate funding to take the drug through the trials and onto the market, Silver said. That and potential competition and intellectual property risks could hinder the company's success, Silver said. Shares fell 2.7% to $2.64.

Tenet Healthcare (THC) climbed on upgrades by analysts at investment research firms Jefferies and Raymond James. Jefferies upgraded the stock to a hold rating from underperform, with a price target of $7 following the company's earnings report Thursday. Raymond James upgraded the stock to market-perform from underperform. Shares were up 4.8% to $6.93.

Other health stocks on the move included Oscient Pharmaceuticals (OSCI) , whose shares rose 5% to $1.25, Repligen (RGEN) , up 7% to $2.89, Cardiodynamics International (CDIC) down 7.9% to 93 cents, and Insite Vision (ISV) , lower by 1.9% to $1.54. YM BioSciences (YMI) fell 8.4% to $2.61. Geron (GERN) dropped 2.2% to $5.91, and StemCells (STEM) lost 4.4% to $1.95.