Wednesday, 5 August 2009

small caps can lead us out of recession

Business week agrees: small caps can lead us out of recession - Smaller companies may carry greater weight for many investors

MIAMI, FL, Aug. 4 /PRNewswire/ - In a recent Esquire column of July 15th 2009, Ken Kurson states his case on small cap stocks.

Today's Alerts include: General Motors Corp., Citigroup Inc., American Intl Group Inc., Bank of America, and Yahoo Inc..

"Everyone knows that small caps outperform large caps over the long haul, with the overperformance linked to the higher risk supposedly represented by companies with market caps under $1 billion," Kurson writes. "As we've watched alleged blue chips like Lehman, AIG, GM, Chrysler, Citi, and Countrywide crumble, the wisdom of that risk-reward profile seems dubious."

His conclusion? "That's why I love small-cap stocks to lead out of recessions. Their businesses tend to be single-minded and far less financially engineered than those of hydra-headed conglomerates. And they also tend to carry less debt, especially compared with the engorgements large companies were encouraged to undergo in the past decade."

More nimble + More ideas + Less debt = all the ingredients for a great future...and a great potential opportunity for investors.

Small- and micro-cap research source www.PennyPic.com focuses solely on emerging companies it believes are poised for growth and could offer potential for investors who act early. In an effort to help these investors make educated and sound decisions, the www.PennyPic.com team publishes a twice-monthly research report (currently available at no charge) with thorough coverage of what it believes to be the most promising companies and stocks out there.

About PennyPic.com

PennyPic.com is a U.S.-based leading market research provider, specializing in micro-cap and small-cap companies, many of which are not covered by most Wall Street investment advisors. We believe smaller emerging companies represent potentially significant opportunities. Our mission is to provide both the experienced and newer investors who subscribe to our information services with the relevant and necessary information they seek before making investment decisions. For more information and to reserve your free subscription, please visit: http://www.PennyPic.com

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