Small Cap Stock Report: Encore Medical Rises On Merger; Ceradyne Up on Big Govt. Contract

Excerpt from our One Page Annotated Wall Street Journal Summary (get it e-mailed to you every morning by signing up here):

SMALL STOCKS: Encore Medical, EZCorp Advance; Deluxe Declines

• Summary: Encore Medical (ENMC) rose 31% Monday to $6.30 on a merger agreement; Semi stock Mindspeed Technologies (MSPD) jumped 8.7%; Merge Technologies (MRGE) fell 41% following the resignation of three executives amidst an investigation into the company's acccounting; Pawnshop operator EZCorp (EZPW) gained 14% following a raised guidance for quarterly earnings; Deluxe Corp. (DLX) dropped 14% on lower guidance for 2006 earnings; ceramics company Ceradyne (CRDN) gained 6.5% on reporting a government contract worth up to $611 million.
• Comment on related stocks/ETFs: William Trent wrote recently on Ceradyne's positive steps into new markets; Mindspeed's revenue per employee is on the low end of the industry average.