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Meet the Magnificent Small-Cap ETF Crushing the S&P 500 in 2026. Is It Still a Buy?

It all comes down to what your goal is for the investment.

Meet the Magnificent Small-Cap ETF Crushing the S&P 500 in 2026. Is It Still a Buy?

Published July 1, 2026 · Category: Finance

Overview

Larger companies tend to get much more attention in the stock market than smaller ones, which makes sense. People interact much more with Apple, Coca-Cola, or Amazon than with a regional mining company, niche pharmaceutical company, or local bank.

However, attention doesn't always translate to stock market performance. There are plenty of small-cap stocks that have performed well and continue to do so. The iShares Russell 2000 ETF (NYSEMKT: IWM) is a good example of this, outperforming the S&P 500 by 20.5% to 7.2% so far this year, as of market close on June 26.

Details

Given its recent performance, is IWM still a buy? It depends on your objective.

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Source

Originally published at www.fool.com.

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Disclaimer: This article is for informational purposes only and does not constitute investment advice. Data may be delayed up to 15 minutes. Past performance is not indicative of future results. Consult a licensed financial advisor before making investment decisions.