Small-Cap Winners & Losers: Wet Seal

On Friday, small-cap stocks hovered around the baseline, trailing behind the broader market. Upgrades as well as earnings from specialty retailers prompted many of the day's big moves.

On the winning side, Quanta Capital (QNTA) shares skyrocketed 40% to $2.64 on news that the Hamilton, Bermuda-based provider of life insurance, reinsurance, risk assessment and risk technical services announced that Catalina Holdings would buy it for $197 million, or $2.80 a share, in cash.

Meanwhile, business software company Wind River Systems (WIND) climbed 18% to $10.55. The Alameda, Calif.-based firm reported a first-quarter non-GAAP profit of $7.6 million, or 9 cents a share, vs. $3.1 million, or 4 cents a share, a year ago. Analysts surveyed by Thomson Reuters were expecting EPS of 2 cents.

Sourcefire (FIRE), a provider of enterprise threat management solutions, rejected a buyout offer from privately held Barracuda Networks. Barracuda had offered $7.50 a share for the Columbia, Md., company. Shares of Sourcefire added 15% to $7.63.

Foothill Ranch, Calif.'s Wet Seal (WTSLA), an apparel retailer headquartered in Foothill Ranch, Calif., tacked on 6.3% to $4.55. Wet Seal reported first-quarter earnings of $8.9 million, or 9 cents a share, vs. $7.6 million, or 7 cents a share, in the year-ago quarter. The Street was looking for 7 cents a share. The company guided for second-quarter EPS between 8 cents and 10 cents, ahead of the consensus estimate of 7 cents a share. JPMorgan upgraded the stock to overweight from neutral.

JPMorgan upgraded Savannah, Ga.-based apparel retailer Citi Trends (CTRN) to overweight from neutral, and shares popped 14.7% to $22.07.