Radian, Depomed: Small-Cap Losers

NEW YORK ( TheStreet) -- Small-caps were getting hammered Wednesday, with the Russell 2000 shedding 1.4% in Wednesday afternoon trading, while the S&P 500 was off by 0.6%.

Mortgage insurers PMI ( PMI) and Radian ( RDN) were suffering some of the steepest losses within the small-cap space after a disappointing earnings report from the largest mortgage insurer, MGIC Investment ( MGIC). MGIC reported a loss of 93 cents per share, missing estimates for a 46 cent loss, as foreclosures mounted and claims increased.

Shares of Radian plunged 13% to $8.40, while the stock of PMI was sinking 14% to $3.42.

Depomed ( DEPO) was dragging drug stocks lower after it said that its marketing partner Abbot Laboratories ( ABT) was reluctant to market its pain drug. Shares tumbled 10.9% to $5.86.

Shares of Ariad Pharmaceuticals ( ARIA) were shedding 7.5% to $6.52 after soaring more than 30% on Tuesday. The company recently reported positive phase III trials for its drug to treat soft tissue or bone tumors.

Shares of biopharmaceutical company MannKind ( MNKD) were halted in afternoon trading as the exchanges looked into potential erroneous trades. The exchanges have since ruled that the trades will be allowed to stand, Reuters reported. Shares were down 7.3% to $9.11 as of 11:56 a.m.

Shares of JA Solar ( JASO) shed 3.6% to $7.49 after Barclays Capital lowered its price target on the stock to $6, on a lower earnings estimate for 2011. The rating was maintained at equal weight. Shares of rival LDK Solar ( LDK) also dropped 1.6% to $13.13.

Prominent among the winners was the stock of Ener1 ( HEV), gaining for the second day by 5.7% to $4.44. The company entered into a joint-venture agreement with China-based Wanxiang Electric Vehicleto produce lithium-ion cells and battery packs for the rapidly growing Chinese market.

US Airways ( LCC) was up 1.1% to $10.24 after American Airlines parent company AMR ( AMR) posted a narrower-than-expected quarterly loss.

Shares of NuVasive ( NUVA) rose 3.7% to $28.91 after it said late Tuesday that Cigna and Humana would cover its spine surgery procedure, joining other major insurers who have included the procedure in their coverage.

-- Written by Shanthi Bharatwaj in New York

>To contact the writer of this article, click here: Shanthi Bharatwaj.

>To follow the writer on Twitter, go to http://twitter.com/shavenk.

>To submit a news tip, send an email to: tips@thestreet.com.

Disclosure: TheStreet's editorial policy prohibits staff editors and reporters from holding positions in any individual stocks.

More from Investing

Why The FANG Stocks' Dominance May Not Be So Bad For The Market

Why The FANG Stocks' Dominance May Not Be So Bad For The Market

Danica Patrick's Final Race at 2018 Indianapolis 500: What She Thinks About Cars

Danica Patrick's Final Race at 2018 Indianapolis 500: What She Thinks About Cars

At End of May, Investors Signalling They May Stay Away

At End of May, Investors Signalling They May Stay Away

Inside Carnival's Mind Blowing New Horizon Cruise Ship (Video)

Inside Carnival's Mind Blowing New Horizon Cruise Ship (Video)

Neel Kashkari: The Heart of Our Financial System Is More Radioactive Than Ever

Neel Kashkari: The Heart of Our Financial System Is More Radioactive Than Ever