Key Points Small-cap stocks have underperformed their large-cap counterparts for years. The valuation gap between small caps ...

Small-cap and cyclical stocks have quietly staged a breakout in July, flipping the script as the second half of 2025 tilts in ...

Beyond the well-documented size premium, small caps may also offer a key advantage for income-focused investors.

After peaking in November, small-cap stocks, as measured by the Russell 2000, slipped 25.5%. That's bear-market territory, defined as a drop of 20% or more. The Russell Midcap Index fell 19.4%.

Shares of economically-sensitive stocks gained Friday after a stronger-than-expected jobs report. The Russell 2000 index, which tracks small-cap stocks, gained 1.6% Friday morning, outperforming ...

Small-caps have underperformed large-caps for 12 years now, which means they’re very cheap and, as BofA notes, good in a stagflation economy and may even profit from artificial intelligence.

Knightscope, Inc. (NASDAQ:KSCP) is one of the 10 Best Small Cap Robotics Stocks to Buy Now. On July 2, the company closed $1 million in new contracts, reflecting robust demand for its products.

What Else Should You Know About Small Cap AI Stocks? Tune into this week’s podcast to find out. Only $1 to See All Zacks' Buys and Sells. We're not kidding.