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Showing posts from January 28, 2013

How To Evaluate A Micro-Cap Company

"Think big." That is the motto most successful investors live by. But sometimes, big ideas and big investment returns come in small packages. In this article, you will learn how you can find and evaluate a winner in the  micro-cap market . A publicly traded company in the United States that has a market capitalization between approximately $50 million and $300 million. Micro-cap companies have greater market capitalization than nano caps, and less than small, mid, large and mega-cap corporations. Companies with larger market capitalization do not automatically have stock prices that are higher than those companies with smaller market capitalizations. Generally, the larger the market capitalization, the less risky the investment and smaller the potential returns. The smaller the market capitalization, the riskier the investment and the greater the potential returns. Companies with less than $50 million in market capitalization are frequently referred to as nano caps. Both n...