Free Trial
→ Collect $7k per month from Tesla’s SECRET dividend (From Investors Alley) (Ad)

Are Small Caps a Harbinger of Market Declines?

Kate Stalter
Written by Kate Stalter
May 9, 2023

Key Points

  • Small-cap stocks, as tracked by the iShares Russell 2000 ETF, outperformed the S&P 500 in the past week.
  • The Russell 2000 small-cap index is trading below its 50-day average, while the S&P 500 holds above that line. 
  • Small caps can be more sensitive to various economic factors, including inflation or higher interest rates.
  • Smaller stocks s can take the lead as markets recover from corrections, but they also tend to take the lead down as markets sell off.
  • Companies with a smaller market capitalization can be bellwethers for broader market action. 
  • MarketBeat previews the top five stocks to own by April 1st.

unlock icon  Upgrade Now

This premium article is available to MarketBeat All Access subscribers only. Log in to your account or sign up below.

Upgrade Now See Benefits

Already have an account? Log in here.

Should You Invest $1,000 in iShares Russell 2000 ETF Right Now?

Before you consider iShares Russell 2000 ETF, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and iShares Russell 2000 ETF wasn't on the list.

While iShares Russell 2000 ETF currently has a Hold rating among analysts, top-rated analysts believe these five stocks are better buys.

View The Five Stocks Here

10 "Recession Proof" Stocks That Will Thrive in Any Market Cover
10 "Recession Proof" Stocks That Will Thrive in Any Market

Which stocks are likely to thrive in today's challenging market? Enter your email address and we'll send you MarketBeat's list of ten stocks that will drive in any economic environment.

Get This Free Report
Kate Stalter
About The Author

Kate Stalter

Contributing Author

Retirement, Asset Allocation, and Tax Strategies

Learn More about Kate Stalter
Like this article? Share it with a colleague.

Companies Mentioned in This Article

CompanyMarketRank™Current PricePrice ChangeDividend YieldP/E RatioConsensus RatingConsensus Price Target
iShares Russell 2000 ETF (IWM)N/A$208.37-0.2%1.21%16.97Moderate Buy$206.40
Shockwave Medical (SWAV)
1.2746 of 5 stars		$334.75flatN/A78.21Hold$344.67
EMCOR Group (EME)
3.5152 of 5 stars		$393.74-0.5%0.25%19.96Moderate Buy$497.25
Iridium Communications (IRDM)
4.7202 of 5 stars		$30.41-1.7%1.84%31.98Moderate Buy$38.33
Saia (SAIA)
3.119 of 5 stars		$401.21+2.8%N/A29.68Moderate Buy$535.12
Apellis Pharmaceuticals (APLS)
3.8631 of 5 stars		$25.16+4.6%N/A-12.39Moderate Buy$45.53
Inspire Medical Systems (INSP)
4.7594 of 5 stars		$179.78-1.5%N/A103.92Moderate Buy$228.82
Crocs (CROX)
4.2187 of 5 stars		$102.24+1.9%N/A6.39Moderate Buy$143.53
Texas Roadhouse (TXRH)
3.1107 of 5 stars		$185.40+2.3%1.47%28.61Moderate Buy$192.73
Kinsale Capital Group (KNSL)
3.4394 of 5 stars		$431.81+0.3%0.16%24.27Hold$468.56
iShares Core S&P 500 ETF (IVV)N/A$584.53-0.4%1.09%26.66Moderate Buy$579.58
Compare These Stocks  Add These Stocks to My Watchlist 

Featured Articles and Offers

5 Stocks to BUY NOW in March 2025

5 Stocks to BUY NOW in March 2025

MarketBeat's Thomas Hughes looks at five stocks poised for gains this year that investors should have on their watchlists for buying opportunities in March.

Related Videos

NVIDIA Revenue SOARS 78%, But Volatility Won’t STOP!
NVIDIA Earnings: Will it Spark a Rally or Trigger a Sell-Off?
5 Stocks to BUY NOW in February 2025

Stock Lists

All Stock Lists

Investing Tools

Calendars and Tools

Search Headlines