Definition of mosquito for English Language Learners. : a small flying insect that bites the skin of people and animals and sucks their blood.
What it is: Small-cap stock refers to a company with a market capitalization (calculated by taking a firm's current share price and multiplying that figure by the total number of shares outstanding) near the low end of the publicly traded spectrum.
For example, a company with a stock price of $60 and 100 million shares outstanding (a market cap of $6 billion) is actually smaller in size than a company with a stock price of $25 and 500 million shares outstanding (a market cap of $12.5 billion).he smallest of the small-cap stocks are called micro-cap and nano-cap stocks. Micro-cap stocks ($50 million to $2 billion in market capitalization) and nano-cap stocks (market caps less than $50 million) are even riskier than small-cap stocks.