Small caps open lower

Alex Alexandrov | Feb 22, 2008 10:05am EST | Comment

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The Russell 2000 (NYSE: IWM) is in negative territory, down more than any of the other major U.S. indices.

At 10:06 a.m. ET, the small-cap index was off 7.24 points, or 1.04%, to 689.04. The Dow Jones Industrial Average (INDU) had let go 29.06 points, or 0.24%, to 12,255.24.

With no major economic news scheduled for today, investors are focusing on company news. The Russell 2000 opened in the green but quickly turned south.

Leading the downward movement is Cbeyond, Inc. (Nasdaq: CBEY), a provider of Internet protocol-based (IP) communications services. The Atlanta, Ga.-based company reported that its fourth-quarter profit nearly tripled, but released 2008 revenue guidance below expectations.

Also falling is McGrath RentCorp (Nasdaq: MGRC). The seller of portable classrooms and office space posted fourth-quarter net income of $12.1 million, or $0.48 per share, beating projections. However, revenue was $70.7 million, below the expected $78.9 million.

On the flip side, armored vehicles maker Force Protection, Inc. (Nasdaq: FRPT) is seeing its shares rise on news that it has received a $115 million order from the U.K. Ministry of Defense.

Financial technology services provider Online Resources Corp. (Nasdaq: ORCC) is also enjoying a bump in its stock price following news that fourth-quarter revenues rose 29.6% to $38.1 million, above Wall Street’s forecast of $37.9 million.

Shares of Red Robin Gourmet Burgers, Inc. (Nasdaq: RRGB) are in the green on news that the Greenwood Village, Colo.-based casual dining chain increased its fourth-quarter profit 14%.