The Small-Cap Investor: Secrets to Winning Big with Small-Cap Stocks (Hardcover)

Acknowledgments.

INTRODUCTION The Story of a Small-Cap Investor.

CHAPTER 1 Start Small, Finish Big—Discover Big Profits in Small-Cap Stocks.

Small-Cap Investor: Eight-Step Process for Big Profits from Small Stocks.

Small Caps as Generators of Growth.

An Example of Small-Cap Success.

Small-Cap Value Stocks Outperform Large-Cap Growth Stocks.

Profitable Small Caps Don’t Always Make Gains on Day One.

The Inefficient Market Theory: The Small-Cap Advantage.

The Market as an Emotional Being.

CHAPTER 2 Big Ideas for Big Profits.

Spotting the Next Big Idea.

Expanding Your Search.

The Competitive Edge.

Spotting Institutional Activity.

CHAPTER 3 Finding Great Small-Cap Stocks.

Growth + Value = Profits.

Success Stories from the Past.

IPOs Are the Genesis of Small Caps.

Spotting Growth Sector Trends.

News You Can Use.

You’ve Found an Interesting Trend or Company—Now What?

CHAPTER 4 Understanding and Evaluating Financial Statements.

Generally Accepted Accounting Principles and the Basics of Accrual Accounting.

Financial Statements Made Simple.

Ten Key Metrics to Review in Every Financial Statement.

What Exactly Are Earnings?

A Quality Test: Cash Flow Instead of Earnings.

Ten Accounting Red Flags.

CHAPTER 5 Financial Projections and Valuations.

Understanding Financial Guidance.

A Reality Check.

Guidance Caveats.

Interpreting Analyst Estimates.

Companies Play the Earnings Game.

Financial Trends for Spotting Promising Small Caps.

CHAPTER 6 Taking the Mystery Out of Technical Analysis and Trading for Quick Profits.

Some Technical Basics.

Accumulation and Distribution.

The Relative Price of a Stock.

CHAPTER 7 Trading Strategies for Successfully Buying and Selling Small-Cap Stocks.

Liquidity Considerations with Small-Cap Investing.

Risk Tolerance.

Risk Awareness, an Essential Attribute.

Timing Decisions.

Trading Techniques.

CHAPTER 8 Portfolio Diversification and Allocation.

Equity Diversification Methods.

Diversification Mistakes.

Overdiversification.

Using Mutual Funds and ETFs to Diversify.

Risk Tolerance as a Means for Diversifying Your Portfolio.

Asset Allocation Basics.

CHAPTER 9 Buy Small Caps to Grow Your Portfolio.

A Track Record of Small-Cap Success.

The Key Drivers to Growth.

Early Bird Gets the Worm.

Appendix.

Notes.

About the Author.

Index.