2023 List Of All Russell 2000 Companies

Up to date on July fifth, 2023 by Bob CiuraSpreadsheet information up to date every day

The Russell 2000 Index is arguably the world’s best-known benchmark for small-cap U.S. shares.

Small-cap shares have traditionally outperformed their bigger counterparts.

Accordingly, the Russell 2000 Index will be an intriguing place to search for new funding alternatives.

You possibly can obtain your free Excel listing of Russell 2000 shares, together with related monetary metrics like dividend yields and P/E ratios, by clicking on the hyperlink beneath:

Desk Of Contents

Russell Index Overview & Building

The Russell 2000 Index is a subset of the Russell 3000 Index.

FTSE Russell maintains the Russell 3000 Index, which is comprised of the 4000 largest publicly traded U.S. corporations. Observe the complicated naming construction; the Russell 3000 truly has 4000 securities in it.

The index is reconstructed yearly and up to date quarterly with new IPOs (Preliminary Public Choices).

The Russell 3000 Index is damaged down into the next subgroups (which regardless of its title consists of 4000 securities):

Russell 1000: The 1000 largest Russell 3000 Index corporations
Russell 2000: Firms ranked 1,001 – 3,000 in dimension
Russell Microcap Index: Firms ranked 2,001 – 4000 in dimension (overlaps with the Russell 2000)

How To Use The Russell 2000 Shares Listing To Discover Funding Concepts

Having an Excel doc that accommodates monetary info on every Russell 2000 inventory will be tremendously helpful.

This doc turns into much more highly effective when mixed with a data of manipulate information inside Microsoft Excel.

With that in thoughts, this text will present a tutorial on implement two actionable investing screens from the Russell 2000 Shares Listing.

The primary display screen that we’ll implement is for shares buying and selling at price-to-earnings ratios beneath 15. These are small-cap shares buying and selling at engaging valuations and may keep away from the valuation danger that accompanies investing in overpriced securities.

Display 1: Small-Cap Worth Shares With Worth-To-Earnings Ratios Under 15

Step 1: Obtain the Russell 2000 Shares Listing close to the start of this text.

Step 2: Spotlight all columns.

Step 3: Go to the “Information” tab, then click on “Filter.” See the picture beneath for a stroll by means of of steps 2 and three.

Step 4: Go to the P/E ratio column, click on the filter arrow, go to numbers filter, click on between, and set to between 0 and 15. See the picture beneath for a information to this step.

The remaining shares on this spreadsheet are Russell 2000 shares with price-to-earnings ratios beneath 15 and optimistic earnings.

Within the subsequent display screen we’ll present you implement an investing display screen for Russell 2000 shares which have high-dividend yields and cheap payout ratios.

Display 2: Excessive-Yield, Affordable Payout Ratio Small-Cap Shares

Step 1: Obtain the Russell 2000 Shares Listing on the hyperlink above, and set the columns to “Filter” (see steps 2 and three of display screen 1).

Step 2: Go to the Dividend Yield column, click on the filter arrow, go to numbers filter, click on “higher than or equal to,” and add in 0.05.

Step 3: Go to the Payout Ratio column, click on the filter arrow, go to numbers filter, and choose “between,” and set to between 0 and 0.60. See the picture beneath for a stroll by means of of steps 2 and three.

The remaining shares on this spreadsheet have dividend yields of 5% or extra and payout ratios beneath 60%. This display screen reveals small-cap dividend shares with cheap payout ratios for additional analysis.

You now have a strong understanding of use the Russell 2000 shares listing to search out funding concepts.

The rest of this text will briefly describe the deserves of investing within the Russell 2000 Index earlier than explaining different assets that you need to use to search out funding concepts.

Why Make investments In Shares From The Russell 2000 Index

As talked about beforehand, the Russell 2000 Index accommodates the home U.S. shares that rank 1,001 by means of 3,000 by descending market capitalization.

The Russell 2000 is a superb benchmark for small-cap shares. The common market capitalization inside the Russell 2000 is ~at present $2.8 billion.

Why does this matter? There are a number of benefits to investing in small-cap shares, which we discover within the following video:

Small-cap shares have traditionally outperformed large-cap shares for 2 causes.

Firstly, small-cap shares are likely to develop extra rapidly than their bigger counterparts. There may be merely much less competitors and extra room to develop when your market capitalization is, say, $1 billion when in comparison with mega-cap shares with market caps above $200 billion.

Secondly, many small-cap securities are exterior the funding universes of some bigger institutional funding managers. This creates much less demand for shares, which reduces their costs and creates higher shopping for alternatives.

Because of this, there are usually extra mispriced funding alternatives in a small-cap index just like the Russell 2000 than a large-cap inventory index just like the S&P 500.

Traders with a price orientation ought to preserve this in thoughts when looking for their subsequent buy alternative.

Russell 2000 Efficiency

The Russell 2000 ETF (IWM) generated whole returns of 8.1% in June 2023. IWM outperformed the S&P 500 ETF (SPY), which generated optimistic whole returns of 6.5% final month.

This implies small-cap securities basically considerably outperformed their large-cap counterparts for the month.

Whereas the proof factors in direction of small-cap shares outperforming over the long term, that has not been the case during the last decade when evaluating IWM to SPY.

Over previous 10 years, the S&P 500 ETF generated annualized whole returns of 12.7% per yr, versus 8.1% annual whole returns for the Russell 2000 ETF.

It is a counter-intuitive discovering, as many buyers would count on small-cap shares to outperform large-caps in a bull market.

We imagine the extraordinarily robust efficiency of enormous expertise corporations during the last decade is no less than partially answerable for the superior efficiency of the large-cap S&P 500 relative to small caps over that time-frame.

Ultimate Ideas & Additional Studying

The Russell 2000 Index Listing is a superb place to search for small-cap funding alternatives.

Nevertheless, it’s not the one place the place glorious investments will be discovered.

For those who’re on the lookout for publicity to steady large-cap shares with strong dividend development prospects, the next databases will show extra helpful than the Russell 2000 Index Listing:

Alternatively, chances are you’ll be on the lookout for dividend shares that come from a sure sector of the inventory market.

If that’s certainly the case, the next inventory databases will likely be helpful: