Tag - ETEL

Small-cap stocks jumped higher on the opening, lifted by news of a large fiscal stimulus plan out of China, and by a surge in commodity-related shares. Today’s small-cap gainers are GeoMet (Nasdaq:GMET), Logility, Inc. (Nasdaq:LGTY) and ETEL (Nasdaq:ETEL).

Other Market Watch highlights today included:

•    Financial shares got a lift from a G20 statement over the weekend saying that a coordinated action was needed to fight the global financial crisis.  
•    At 9:54 a.m. ET, the Russell 2000 was up 5.81, or 1.15% at 511.60
•    Small-cap stocks jumped higher on the opening, lifted by news of a large fiscal stimulus plan out of China, and by a surge in commodity-related shares.
•    Overnight, China shares were up 7.4%, Japan’s Nikkei climbed 5.8%, Hong Kong was up 3.5%, India rallied 5.7%, Australia was up 1.3% and European shares were up about 2% heading toward the U.S. open.  
•    Crude oil prices were up more than $4 a barrel, while copper prices climbed 8% in Asian trading.

Small Cap Gainers:

• GeoMet up 19% ahead of its Q3 earnings release and conference call scheduled for today. See (Nasdaq:GMET).  
• Logility, Inc. up 18% on light volume. See (Nasdaq:LGTY).
• EGS Acquisition Co. commences tender offer to acquire all issued and outstanding common shares and ADSs of eTelecare Global Solutions. Shares of ETEL pop 16%. See (Nasdaq:ETEL).  
• Smith & Wesson up over 16% on no fresh news, lower-than-average volume. See (Nasdaq:SWHC).  


Small Cap Losers:

• GSK, XenoPort to withdraw and resubmit new drug application requesting Solzira approval for restless legs syndrome. XNPT shares dive 17% in pre-market. See (Nasdaq:XNPT).  
• Fuel Tech Inc. reports Q3 results, lowers FY 2008 outlook. Shares drop 9% in pre-market. See (Nasdaq:FTEK).  
• Circuit City files For Chapter 11; shares lose more than half their value, shares plummet 64% in pre-market. See (NYSE:CC).  

eTelecare Global Solutions Inc. (Nasdaq:ETEL), Community Bancorp  (Nasdaq:CBON) and Radian Group Inc. (Nasdaq:RDN) are among the biggest percentage gainers in Friday's trading among companies with market capitalizations under $1 billion.

Also included among the results: Imperial Capital Bancorp Inc. (Nasdaq:IMP), Dearborn Bancorp Inc. (Nasdaq:DEAR), First Regional Bancorp. (Nasdaq:FRGB), Pzena Investment Management Inc. (Nasdaq:PZN), Genesis Energy LP (Nasdaq:GEL) and City Bank (Nasdaq:CTBK).

Here are the biggest percentage gainers among small caps:

Koss Corp. (Nasdaq:KOSS), Solarfun Power Holdings Co Ltd. (Nasdaq:SOLF) and Charming Shoppes Inc. (Nasdaq:CHRS) are among the biggest percentage losers in Wednesday's trading among companies with market capitalizations under $1 billion.

Also included among the results: First M&F Corp. (Nasdaq:FMFC), Pilgrim's Pride Corp. (Nasdaq:PPC), Versant Corp. (Nasdaq:VSNT), eTelecare Global Solutions Inc. (Nasdaq:ETEL), Stoneridge Inc. (Nasdaq:SRI) and Ames National Corp. (Nasdaq:ATLO).

Here are the biggest percentage losers among small caps:

eTelecare Global Solutions (Nasdaq:ETEL) fell by nearly 10% this morning after the company reported drastically reduced 2008 guidance after the market closed Wednesday.

The Scottsdale, Ariz.-based business process solutions provider now projects 2008 earnings will range between $9 million to $11 million, or $0.30 to $0.36 per share, compared with previous estimates of a range $16 million to $19 million, or $0.50 to $0.60 per share.

Analysts polled by Thomson First Call were expecting earnings per share of $0.51 for the year.

By mid-day Thursday, eTelecare’s stock is at $5.64, down $0.61 from Wednesday’s close. The stock has traded as low as $4.93 and as high as $12.05 in the past year.

For detailed price information and news stories on eTelecare, click ETEL.

As a business analyst and investment editor, John Christy III, CFA, has long been recognized as one of the advisory community's leading experts on global investing.

Although he offers global coverage in his Forbes International Investment Report, the stocks he recommends are typically those that can easily be bought, such as ADRs and ETFs, by U.S. investors on domestic exchanges.

Attesting to the diversity of his recommendations Christy looks at two new small-cap positions — an "outsourcing" play based in the Philippines and an advertising company in China — as well as a small-cap fund play on Japan.

"India is not the only game in town when it comes to outsourcing," says Christy, noting that the Philippines has been "quietly" developing its own outsourcing industry. And within this sector, he says, eTelecare Global Solutions, Inc. (Nasdaq: ETEL) is a leading player.

The $200-million-market-cap company is based in Manila, but also has 3,000 employees in the United States. He says that customers include Sprint Nextel Corp. (NYSE: S) and AT&T Inc. (NYSE: T). Its 2007 revenue, he says, should be about $250 million.

Christy says that ETEL went public last March at $13.50, but has since slumped.

"Investors have been nervous about ETEL's exposure to Vonage, one of its key customers. But at less than 11 times estimated 2008 earnings, the market appears to be pricing in a lot of bad news and ignoring ETEL's strong growth potential," Christy says.

Over the next three to five years, he says, analysts expect 20% annualized earnings growth. In time, he says, ETEL should sign up more customers who can offset the Vonage exposure.

The Russell 2000 (NYSE: IWM) futures are lower and the small-cap index will open with a drop on weak economic news.

The U.S. Commerce Department did not change its initial estimate for fourth-quarter economic growth, reaffirming its preliminary projection for a 0.6% annual rate. The economy grew 4.9% during the third quarter.

More worrying than the preliminary GDP number, today’s estimate revised upward inflation gauges.

Separately, the U.S. Labor Department said that jobless claims for the week ended Feb. 23 increased.

The Russell 2000 was basically flat at the close Wednesday, after stalling near Tuesday’s highs, leaving yet another double-top formation on daily studies. The index finished at 716.44, down 0.88 point, or 0.12%, and traded in a relatively tame range given the potential volatility that could have flared up around Federal Reserve Chairman Ben Bernanke’s testimony.

Bernanke's back on the docket today at 10:00 a.m. ET, testifying on the economy before the Senate Banking Committee. Although much of the tilt may be a repeat of Wednesday’s Congressional presentation, there could be fresh bits that filter through and have an impact on stocks. Look for resistance Thursday at 723.50 and 731, while support looms down at 712, 704 and 694.

The Russell 2000 (NYSE: IWM) futures are down and the small-cap index will open lower on news a larger-than-expected decline in durable goods orders.

The U.S. Census Bureau reported that orders for durable goods fell 5.3% in January to a seasonally adjusted level of $212.80 billion. Economists were expecting to see a 4% decline following a downwardly revised increase of 4.4% in December.

Durable goods are goods designed to last at least three years.

The Russell 2000 showed that Monday’s rise was no fluke after putting in another solid performance Tuesday, rising 6.86, or 0.97% to 717.32. The rally stalled in the shadow of a little double top reversal from Feb. 14, and that test marks the primary zone to watch heading toward the more dynamic double top at 731.

It will be interesting to see if the Russell 2000 can sustain the positive momentum through this morning’s data – particularly the testimony by Federal Reserve Chairman Ben Bernanke, which will begin to hit the newswires around 10:00 a.m. ET. Look for resistance Wednesday at 723 and 731, with support at 712, 702 and 694.

Q.E.P. Co., Inc. (Nasdaq: QEPC), Gyrodyne Company of America, Inc. (Nasdaq: GYRO) and Tufco Technologies, Inc. (Nasdaq: TFCO) are among the biggest percentage gainers in Friday's trading among companies with market capitalizations under $500 million.

Here are today's biggest percentage gainers:

Sonic Solutions (Nasdaq: SNIC), China Sunergy Co., Ltd. (Nasdaq: CSUN) and Document Sciences Corp. (Nasdaq: DOCX) are among the biggest percentage losers in Friday's trading among companies with market capitalizations under $500 million.

Here are today's biggest percentage gainers:

The Russell 2000 is above its record close this afternoon as U.S. stocks add to earlier gains.  Among specific small companies, eTelecare Global Solutions, Inc. (Nasdaq: ETEL) is opening another delivery center in the Philippines, while shares of Isonics Corp. (Nasdaq: ISON) are rising on news the company expects to almost double its revenue.

At 2:41 p.m. ET the Russell 2000 had added 11.54 points, or 1.40%, to 835.20, above its May 9 record close of 834.77.  The Dow Jones Industrial Average was up 9.47 points, or 0.07%, to 13,130.87.