Small-cap biotechs are worth a flutter

NEW YORK: Gambling on volatile small-cap biotechnology companies can be gut wrenching even in the best of times, but wild stock jumps based on positive clinical data may tempt investors to give them a second look with the hope of catching that really big payoff.

Human Genome Sciences Inc this week provided the latest golden carrot that investors may follow back into the sector.

Positive data on its experimental lupus drug that caught Wall Street by surprise led its shares to nearly quadruple to $12.51 on Monday. The stock was up another 14 percent on Tuesday as others jumped on the bandwagon.