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TheStreet Open House

5 Small-Caps at Risk From Shaky Earnings

MINNEAPOLIS ( Stockpickr) -- The market had a relatively orderly retreat last week and that should have investors nervous. Sure volatility exploded as stocks fell, but I did not get the sense of real panic selling by investors. That perceived complacency puts us at risk for further losses.

What we are seeing Monday is an adjustment to stock market value given the expectation of smaller cash flows. I've been most worried about the sensationalist nature of a market correction becoming a self-fulfilling prophecy, and yet that is what I think we are getting when it comes to the future of the economy.

With policy responses limited by a debt strapped national government and zero interest rates of the Federal Reserve what is out there to save us? I'm honestly not sure. As such selling in the market of late actually makes some sense.

One group of stocks getting hit particularly hard is the small-cap space. A small company that disappoints the market can be pummeled. One of the stocks I follow, ValueVision (VVTV) lost some 30% of its value last week after reporting profit results that fell short of expectations. Particularly troubling is the fact that the losses came on the heels of a stock that was already down hard.

Related: 5 Rocket Stocks to Buy for Another Volatile Week

In this market environment there are plenty of other small-cap stocks that could be vulnerable to a collapse in share value. Here are 5 small-cap stocks that could lose a ton should the numbers fail to impress.

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