Market capitalization, or “market cap,” is the total value of a company’s outstanding buy kohls shares. Investors often compare different company sizes when building portfolios. Each category offers unique advantages.
**Large-cap stocks**
Large-cap companies include Apple, Microsoft, Johnson & Johnson, and Nestlé. They are leaders in their industries.
Benefits:
– Reliable dividends and steady growth.
– Access to innovation at scale.
Risks:
– Slower growth.
**Small-cap stocks**
Small-cap firms are younger companies. They are often found in growth industries.
Benefits:
– Ability to expand rapidly.
– Opportunities to invest early.
Risks:
– Limited resources compared to giants.
– Greater sensitivity to news.
**Conclusion**
Smart portfolios combine large-cap stability with small-cap growth. Holding Coca-Cola and a small renewable energy firm allows investors to capture both resilience and opportunity.
