Tag -  HHGP 

Small-cap stocks posted a solid gain Tuesday, erasing morning losses to climb to the highest daily close since early February. By the close, the Russell 2000 (NYSE:IWM) was up 5.44, or 0.75%, at 729.79.

The impressive recovery move off morning lows generated a bullish outside reversal on daily charts, which helps offset some of the topping pattern formed by Friday’s lower close after making new move highs. It should be noted that downside action on Monday was forged on extremely light volume, which took some of the edge off the lower price action coming into today’s session.

Looking ahead to Wednesday’s session, the market still needs to establish the ability to hold above the 731 zone, which formed a double top back in early February. Clearly, sellers emerged in that area late Tuesday, pulling the index back off the highs. Above that 731 point, resistance is at 735 and 743. If the market starts to struggle, then support is at 726, 720.50 and 715.

Much of the bearish morning tone was linked to overnight losses in Fannie Mae (NYSE:FNM), which tumbled 8% after investors were cool to earnings results and a downgrade in the company’s credit rating. However, Fannie Mae reversed course after a conference call with company officials, and ended up climbing more than 8%. Without that bearish impetus to stir jitters about the mortgage market, credit crunch and banking worries, the bears quickly lost favor. By late mid-morning, . . .

BioCryst Pharmaceuticals, Inc. (Nasdaq: BCRX), Spherion Corp. (NYSE: SFN) and Hudson Highland Group, Inc. (Nasdaq: HHGP) are among the biggest percentage losers in Thursday's trading among companies with market capitalizations under $500 million.

Here are today's biggest percentage losers:

Staffing and management company Hudson Highland Group, Inc. (Nasdaq: HHGP) cut its second-quarter revenue guidance to between $348 million and $350 million, from between $355 million and $370 million. Wall Street analysts are expecting revenue of $363.2 million for the three-month period.

Touch-technology company Immersion Corp. (Nasdaq: IMMR) was downgraded by Thomas Weisel Partners to “underweight” from “market weight.”

These are the biggest percentage losers in Monday's trading among companies with market capitalizations under $500 million:

Hudson Highland Group (Nasdaq: HHGP) plunged Monday after the provider of professional staffing services and talent management services cut its second quarter sales outlook.

The New York-based company said that it expects second quarter sales to clock in between $348 million to $350 million, below its prior guidance of $355 million to $370 million. Hudson Highland’s new sales outlook is also below the mean of five analysts surveyed by Thomson Financial of $363 million.

Hudson Highland also said it expects to report a gross margin dollar increase of approximately 7% over the prior year period.

“Revenue is not all that indicative of the business,” said William Blair analyst Tim McHugh. “This remains a turnaround story. The company will make decisions that will adversely affect the top line, but not necessarily the overall profitability. [Revenue] is not a line we tend to focus on as much.”

Hudson Highland said it expects EBITDA to fall in the middle of its previous guidance range of $12.5 million to $13.5 million. This estimate excludes a $1.5 million restructuring charge due to a recapture by the landlord at its former New York City office location.

The Russell 2000 (NYSE: IWM) has dipped into negative territory but the Dow Jones Industrial Average (INDU) is up as stocks are trending lower after news of deal-making.

At 10:12 a.m. ET the Russell 2000 had lost 3.18 points, or 0.37%, to 852.59. The Dow Jones Industrial Average was up 22.27 points, or 0.16%, to 13,929.52.

In corporate news, Glendale, Calif.-based pancake restaurant operator IHOP Corp. (NYSE: IHP) will buy casual diner Applebee’s International, Inc. (Nasdaq: APPB) for about $2.1 billion in cash, which includes the assumption of debt. Applebee’s shareholders will get $25.50 a share.

IHOP plans on selling most of Overland Park, Kan.-based Applebee’s 521 company-owned restaurants to franchisees. Applebee’s has more than 1,900 system-wide restaurants, while IHOP has about 1,300. The acquisition is expected to close in the fourth quarter.

The following were the most actively traded companies in Monday’s trading among those with market capitalizations under $500 million: