What is the meaning of Small-capitalization (small cap) stocks?

Subtopics: small-cap, small-cap 

Small-capitalization (small cap) stocks is the stocks of companies whose market value is less than $1 billion. Small-cap companies tend to grow faster than large-cap companies and typically use any profits for expansion rather to pay dividends. They also are more volatile than large-cap companies, and have a higher failure rate.

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APABarry Goldsmith. (2010). Small-capitalization (small cap) stocks. Retrieved September 22, 2026, from http://smartdefine.org/small-capitalization_(small_cap)_stocks/definitions/1163719
ChicagoBarry Goldsmith. 2010. "Small-capitalization (small cap) stocks" http://smartdefine.org/small-capitalization_(small_cap)_stocks/definitions/1163719 (accessed September 22, 2026).
HarvardBarry Goldsmith 2010, Small-capitalization (small cap) stocks, Smart Define, viewed 22 September, 2026, <http://smartdefine.org/small-capitalization_(small_cap)_stocks/definitions/1163719>.
MLABarry Goldsmith. "Small-capitalization (small cap) stocks" 21 October 2010. Web. 22 September 2026. <http://smartdefine.org/small-capitalization_(small_cap)_stocks/definitions/1163719>