Small-cap stocks surged ahead Monday at times outgain the major indices. The Russell 2000 Index was reecntly up 0.5% to 789.34, and the S&P SmallCap 600 was up a 0.6% to 410.31.
Shares of Hamilton, Bermuda-based
Security Capital Assurance
rose on news that rival bond insurer
had received a $1 billion investment from Warburg Pincus to try to preserve its AAA insurer rating. Shares rose 18.8% to $8.15.
Also roaring ahead,
shares jumped 21% to $2.57 after the San Carlos, Calif.-based biopharmaceutical company announced results from a phase III SONOMA-2 (Speedy Opening of Non-functional and Occluded Catheters with Mini-dose Alfimeprase-2) trial. The results indicate that alfimeprase restored catheter function and was well-tolerated by patients.
Meanwhile, North Palm Beach, Fla.-based
, which operates online banking marketplace Bankrate.com, was rising 20% to $45.06 after Citigroup upgraded the online banking marketplace to buy from hold. Bankrate also announced this morning that it acquired two Web banking services, Nationwide Card Services and Savingforcollege.com.
After announcing Friday that it had received a bank covenant extension,
shot up 18% to $4.78. The Bonita Springs, Fla.-based builder of tower residences obtained a waiver of performance that will last until Jan. 7, 2008. Its previous deadline had been Dec. 7 of this year.
On the losing side, Andover, Mass.-based Internet solutions provider
slipped 27% to $6.25 after announcing a widened fiscal first-quarter loss. The company lost $4.8 million, or 14 cents a share, compared with a loss of $2.6 million, or 9 cents a share, a year ago. Analysts surveyed by Thomson Financial were expecting a loss of 3 cents a share. NaviSite also guided below expectations for the second quarter, projecting revenue between $39 million and $40 million. Analysts expect $41.8 million.
Also falling was polymer maker
, which plummeted 30% to $15.07 on news that
delayed closing its buyout of the Akron, Ohio-based company.
declined 11% to $6.20 after Goldman Sachs downgraded the stock from buy to neutral on worries that the Santa Clara, Calif., maker of integrated circuits for video and multimedia may not remain competitive in the LCD TV market.