Thursday's Small-Cap Winners & Losers

Small stocks underperformed the broader market for the second straight session Thursday even as several companies rode high on various good news.

One of the day's best performers was Dusa Pharmaceuticals (DUSA Quote), lately rocketing 57% in extremely heavy trading after the Food and Drug Administration granted "orphan drug" status to Levulan, the Wilmington, Mass., biotech's proposed therapy for esophageal dysplasia. The disease sometimes occurs in patients with Barrett's esophagus and is a high-risk possible precursor to esophageal cancer.

Orphan drug designation, given to promising drugs for treatment of rare diseases, allows for seven years of marketing exclusivity on FDA approval as well as possible grants and tax incentives during the developmental stage. Dusa shares surged $1.58 to $4.35. ...