Nano Cap


DEFINITION of 'Nano Cap'

Small public companies with a market capitalization below $50 million. Investors looking to invest in nano-cap companies should be aware that these small firms are often associated with a very high risk of failure. Conversely, nano-cap stocks are often referred to as "penny stocks," which are quite popular with novice investors who have a large appetite for risk.


This is as small as you can get. Nano caps are very risky because they are such small companies. Keep in mind that classifications such as "large cap" or "small cap" are only approximations that change over time. Also, the exact definition of the various sizes of market cap can vary between brokerage houses.

  1. Large Cap - Big Cap

  2. Micro Cap

    A publicly traded company in the United States that has a market ...
  3. Secondary Stock

  4. Mid Cap

    A company with a market capitalization between $2 and $10 billion, ...
  5. Mega Cap

  6. Market Capitalization

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