Micro cap

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A micro cap stock is a stock tied to a company that has a rather small market capitalization. Often, the gauge of a micro cap is if the company has under $250 million in capitalization.

Other categories are $1 billion to $5 billion for mid caps and $250 million to $1 billion for small caps. The stock for a company with a capitalization of over $5 billion is considered a large cap.

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