Russell 2000 Outperforms S&P 500 with 17% Gain
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 23h ago
0mins
Source: NASDAQ.COM
- Small-Cap Index Performance: The Russell 2000 has surged 17% over the past six months, significantly outperforming the S&P 500, indicating a strong rebound potential for small-cap stocks that may attract more investor interest.
- Valuation Discrepancy: Currently, the Russell 2000 ETF trades at a price-to-earnings ratio of 19.5, about one-third lower than the S&P 500's 28, which could encourage a rotation of funds from large-cap to small-cap stocks, driving further gains in small-cap valuations.
- Interest Rate Impact: Following three rate cuts by the Federal Reserve last year, reducing the benchmark rate by 75 basis points, the Russell 2000 has benefited, demonstrating small-cap stocks' sensitivity to macroeconomic factors, with expectations for additional rate cuts likely to favor them further.
- Investment Opportunities: Investors can easily gain exposure to small-cap stocks through the iShares Russell 2000 ETF or more focused small-cap ETFs like the Vanguard Russell 2000 Growth ETF and Vanguard Russell 2000 Value ETF, with small-caps poised for breakout growth in the near future.
Analyst Views on AMPL
Wall Street analysts forecast AMPL stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AMPL is 15.00 USD with a low forecast of 13.00 USD and a high forecast of 18.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
8 Analyst Rating
6 Buy
2 Hold
0 Sell
Strong Buy
Current: 10.500
Low
13.00
Averages
15.00
High
18.00
Current: 10.500
Low
13.00
Averages
15.00
High
18.00
About AMPL
Amplitude, Inc. provides a digital analytics platform that helps companies unlock the power of their products. The Company’s Digital Analytics Platform helps businesses understand how people are using their products so they can build digital experiences. Its platform comprises several primary offerings: Amplitude Analytics, Amplitude Session Replay, Amplitude Feature Experimentation, Amplitude Web Experimentation, Amplitude Activation and Amplitude Guides and Surveys. Amplitude Analytics is the cornerstone of the platform and provides real-time insights into user behavior. Amplitude Activation unifies data across multiple sources, creating a single, enriched dataset that fuels analytics and personalization. Amplitude Guides and Surveys helps companies to deploy in-product guides, tours, and surveys, using the power of behavioral insights to fuel great results. The Company's portfolio includes InfiniGrow, which is an AI marketing analytics platform.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
