Microcap Stocks

Microcap stocks are shares of companies with very small market capitalizations, typically under $300 million. These companies are often in early development stages or niche markets, and their stocks tend to be less liquid, making them more volatile and riskier than larger, established companies. Because they are less widely traded, prices can fluctuate sharply, offering potential for high returns but also significant losses. Investors interested in microcap stocks should conduct thorough research and understand the increased risks associated with these small firms.