Meaning & use

large-cap

adjective, noun·Advancedbusinessfinance

Last updated

UK/ˌlɑːdʒ ˈkæp/
US/ˌlɑːrdʒ ˈkæp/

Meanings

  1. adjectivebefore a nounbusinessfinance

    Relating to a company with a very high total market value, usually several billion dollars or more.

    Grammar: Comes before a noun: a large-cap stock, large-cap companies. It is not used after a verb.

    Patterns

    • large-cap stock
    • large-cap company
    • large-cap fund

    She prefers large-cap stocks because they are usually less risky than smaller companies.

    The fund invests mainly in large-cap technology firms.

    Large-cap companies often pay regular dividends to their shareholders.

  2. nouncountablebusinessfinanceinformal

    A company, or its stock, with a very high total market value.

    Grammar: Countable noun, often used in the plural: large-caps. You can say 'a large-cap' for one such company or share.

    Patterns

    • invest in large-caps
    • a large-cap
    • buy large-caps

    The portfolio is divided between large-caps and small-caps.

    He sold his large-caps and moved into bonds.

    Many large-caps have global operations.

Word forms

plurallarge-caps

Common combinations

large-cap stock
Large-cap stocks are often seen as safer investments.
large-cap company
A large-cap company like this one can borrow money more easily.
large-cap fund
The large-cap fund holds shares in about fifty big firms.
large-cap index
The large-cap index rose two percent today.

Synonyms and how they differ

blue chip
A blue chip is a well-known, successful company, often but not always large-cap; the focus is on reputation and stability rather than exact size.
big-cap
A less common synonym that means the same thing; large-cap is the standard term in finance.

Opposites

small-capmid-cap

Word family

mid-cap adjective
Relating to a company with a medium total market value.
small-cap adjective
Relating to a company with a relatively small total market value.
market capitalization noun
The total value of a company's shares.

Commonly confused: large-cap or large cap?

large-cap vs large cap

This is just another spelling of the same term, without a hyphen. Both are correct, but 'large-cap' is more common in writing.

Practice

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