Market Caps

Five tiers. Real thresholds. What each one means for your portfolio.

Market Cap

=Share Price × Shares OutstandingRanges below reflect general market convention — S&P, Russell, and MSCI each draw lines differently.

Relative size (% of U.S. market value)

Mega ~42%Large ~38%Mid ~11%Small ~7%Micro ~2%

Mega-Cap

$200B+

S&P 500 top

U.S. Stocks~25

Market Share~42%

Avg Analysts35+

Inst. Owned75–85%

Beta0.8–1.1

DividendsCommon

Market pillars — the top 25 stocks hold ~42% of all U.S. equity value.

AAPLMSFTNVDAAMZN

Large-Cap

$10B – $200B

S&P 500 / R1000

U.S. Stocks~450

Market Share~38%

Avg Analysts~25

Inst. Owned70–80%

Beta0.9–1.2

DividendsCommon

Established leaders — deep liquidity, strong coverage, the core of most portfolios.

JPMVMAUNH

Mid-Cap

$2B – $10B

S&P 400 / R Mid

U.S. Stocks~900

Market Share~11%

Avg Analysts~17

Inst. Owned50–65%

Beta1.0–1.3

DividendsOccasional

The sweet spot — proven model, room to grow. Historically the strongest rolling 10-yr returns.

CROXWINGCELHCAVA

Small-Cap

$300M – $2B

S&P 600 / R2000

U.S. Stocks~2,000

Market Share~7%

Avg Analysts~6

Inst. Owned30–50%

Beta1.1–1.5

DividendsRare

High information gap — fewer analysts means more pricing inefficiency and alpha potential.

KRUSHIMSDUOTCODA

Micro-Cap

$50M – $300M

CRSP Micro

U.S. Stocks~1,100

Market Share~2%

Avg Analysts0–2

Inst. Owned<20%

Beta1.3–1.8+

DividendsVery rare

Near-venture territory — very low liquidity, minimal coverage, not suitable for most investors.

OTC namesPre-profitNicheEarly stage

Full Comparison

Metric	Mega	Large	Mid	Small	Micro
Cap range	$200B+	$10B–$200B	$2B–$10B	$300M–$2B	$50M–$300M
U.S. stocks	~25	~450	~900	~2,000	~1,100
Share of U.S. market	~42%	~38%	~11%	~7%	~2%
Avg analyst coverage	35+	~25	~17	~6	0–2
Institutional ownership	75–85%	70–80%	50–65%	30–50%	<20%
Typical beta	0.8–1.1	0.9–1.2	1.0–1.3	1.1–1.5	1.3–1.8
Dividends	Common	Common	Occasional	Rare	Very rare
Liquidity	Very high	High	Moderate	Lower	Low

Performance by Market Cycle

Condition	Mega	Large	Mid	Small	Micro
Rate cuts / early recovery	Flat	Flat	Good	Best	Good
Mid-stage bull market	Good	Good	Best	Good	Flat
Late cycle / rising rates	Best	Best	Flat	Weak	Weak
Recession / flight to safety	Best	Good	Flat	Weak	Poor

S&P vs Russell

A $5B company is “large-cap” in the Russell 1000 but “mid-cap” in the S&P 400. Russell breakpoint is ~$4.6B; S&P 500 new-addition minimum is $22.7B (as of July 2025).

Quality Screen

The S&P 600 requires four consecutive profitable quarters. The Russell 2000 does not — over 40% of its constituents are unprofitable at any given time, dragging long-run returns.

Mid-Cap Track Record

Over every rolling 10-year window since the mid-1990s, the S&P MidCap 400 has delivered the highest median return more often than either the S&P 500 or the Russell 2000.

Sources: S&P Dow Jones Indices · FTSE Russell · MSCI · Morningstar · StockAnalysis.com · Data as of mid-2026