Small-Cap ETFs have picked up momentum of late. Is it a reflection of the pre-January Effect?
Total S&P 600 earnings for Q3 are expected to be down 19.5% from the same period last year on 3.6% higher revenues. However, these sectors outperformed.
The beaten down prices coupled with a combination of factors seem a solid entry point for investors seeking to invest in small-cap space.
Albeit the Q2 earnings season reflects a bumpy ride for small-cap stocks, a few sectors offer better growth rates, putting the related ETFs under the spotlight.
Earnings of the S&P 600 are down 18.3% year over year so far on 3.1% revenue growth, with 57.1% beating EPS estimates and 56.3% surpassing top-line expectations.