The broad indices took small-cap stocks on a roller coaster ride Monday before leading them high into positive territory, and one of the biggest winners was Graham ( GHM), which surged 23.9% on positive earnings.

The Batavia, N.Y., company, which makes vacuum and heat-transfer equipment, said it made $2.7 million, or 66 cents a share, in its fiscal first quarter, vaulting from 28 cents a share a year ago. The results thump the sole analyst's estimate from Thomson Financial, which called for flat income vs. last year. Shares were up $6.40 to $33.20.

GPC Biotech ( GPCB) also had a quick rise after the Germany-based company withdrew its accelerated-approval application for satraplatin, the prostate-cancer drug for which the Food and Drug Administration said it needed more data last week. That news had sent GPC stock plunging, but today shares soared 18.8% to $12.30.

In M&A news, Monaco's MC Shipping ( MCX) leapt 16.7% after agreeing to sell itself to Bear Stearns' ( BSC) private-equity affiliate for $14.25 a share in cash, or a 19.6% premium to its latest close. The $284 million deal should close immediately on two-thirds shareholder approval (of those present and voting at a special Sept. 5 meeting). The company's principal holders have already agreed to unload their roughly 53% stake. MC Shipping's shares were trading at $13.90.

NewMarket ( NEU), a chemical-additive maker based in Richmond, Va., climbed 8.9% to $46.75 after earning $1 a share from continuing operations in the second quarter (excluding items) -- a 22% jump from last year, and 3 cents past the only analyst's target.

On the downside today, however, was Mannatech ( MTEX). The maker of nutritional supplements and weight-management products slid 10.8% after saying it expects to make just 4 cents to 6 cents a share in the second quarter -- at least 25 cents below year-ago earnings. The analyst who follows the company is seeking 36 cents. Shares of the Coppel, Texas, company sank $1.14 to $9.42.

But, more broadly, the Russell 2000 traded up 0.8% to 784.19 as the S&P SmallCap 600 climbed 0.9%.