It’s been a sizzling year so far, with the Dow Jones Industrial Average boasting a gain north of 21%. But the action has not just been with big-time stocks like Boeing (BA), Visa (V), Microsoft (MSFT) and Johnson & Johnson (JNJ).
Instead, small cap stocks have also been big winners in 2013. Just look at a small cap ETF like the iShares Russell 2000 (IWM). It has posted a gain of 32% year-to-date.
Plus, folks who handpicked the right individual small cap stocks could have made even more impressive gains. That’s because lots of small caps stocks put the market-beating gains of the small cap ETF to shame.
Of course, it’s difficult to define the term small cap stocks. So when sorting through and finding the top performers, I focused on companies with a market capitalization between $100 million to $500 million. I also looked at only those companies listed on either the NYSE or NASDAQ.
Take a look at the hottest small cap stocks of 2013: