small cap

adj.

1. Of or relating to relatively small companies that have little equity and a small number of shares of common stock outstanding.
2. Of or relating to mutual funds that invest in the stock of such companies.

n.
A small cap company.

[SMALL + CAP².]

A stock that is considered riskier than blue chips because it has a smaller market capitalization.

Investopedia Says:
This is another term for "small cap."

Related Links:
If you don't realize how "big" small-cap stocks can be, you'll miss some good investment opportunities. What Is A Small Cap?
Find out about the pros and cons of small-cap stocks and whether they ought to be in your portfolio. Introduction to Small Caps
Find out the difference between mega-, large-, mid- and small-cap stocks. We show how each suits particular investing styles. Market Capitalization Defined

Used in a general way to mean stocks having smaller Market Capitalization, less quality, and more risk than Blue Chip issues represented by the Dow Jones Industrial Average. Secondary stocks, which often behave differently than blue chips, are tracked by the Amex Market Value Index, the NASDAQ Composite Index, and broad indexes, such as the Standard & Poor's Index. Also called second-tier stocks.

IN BRIEF: adj. - Of stocks of companies with a market worth of less than one billion dollars.

Note: click on a word meaning below to see its connections and related words.

The adjective has one meaning:

Meaning #1: of stocks of companies with a market capitalization of less than one billion dollars
  Synonyms: small-capitalization, small-capitalisation
  Pertains to noun: market capitalization (meaning #1)

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