Joel Greenblatt: Enterprising Investors Should Focus On Small-Cap Stocks

Johnny HopkinsJoel GreenblattLeave a Comment

In his book – The Big Secret, Joel Greenblatt recommends enterprising investors should focus on small-cap stocks. Here’s an excerpt from the book:

Nevertheless, investing in small stocks still has some major advantages over investing in larger-cap companies. These stocks, because of their smaller size, are subject to less research from both institutional and individual investors.

Consequently, they are often more likely to be mispriced by the market than larger capitalization stocks. This means they can often be priced either too high or too low.

As a result, smaller-capitalization stocks may provide more opportunity for enterprising investors even if, on average as a group, they do not outperform stocks with larger market capitalizations.

For all the latest news and podcasts, join our free newsletter here.

FREE Stock Screener

Don’t forget to check out our FREE Large Cap 1000 – Stock Screener, here at The Acquirer’s Multiple:


Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.