2023 List Of All Russell 2000 Companies

Up to date on November 2nd, 2023 by Bob CiuraSpreadsheet knowledge up to date day by 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 could be an intriguing place to search for new funding alternatives.

You may 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 really 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 identify 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 Checklist To Discover Funding Concepts

Having an Excel doc that incorporates monetary data on every Russell 2000 inventory could be tremendously helpful.

This doc turns into way more highly effective when mixed with a information of tips on how to manipulate knowledge inside Microsoft Excel.

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

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 enticing valuations and may keep away from the valuation danger that accompanies investing in overpriced securities.

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

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

Step 2: Spotlight all columns.

Step 3: Go to the “Knowledge” tab, then click on “Filter.” See the picture beneath for a stroll via 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 constructive earnings.

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

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

Step 1: Obtain the Russell 2000 Shares Checklist 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 “larger 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 via 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 tips on how to use the Russell 2000 shares listing to seek 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 should use to seek out funding concepts.

Why Make investments In Shares From The Russell 2000 Index

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

The Russell 2000 is a superb benchmark for small-cap shares. The common market capitalization throughout 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’s 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.

For that reason, there are sometimes 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 worth orientation ought to preserve this in thoughts when trying to find their subsequent buy alternative.

Russell 2000 Efficiency

The Russell 2000 ETF (IWM) generated unfavorable returns of 5.8% in October 2023. IWM underperformed the S&P 500 ETF (SPY), which generated unfavorable complete returns of two.2% final month.

This implies small-cap securities generally under-performed their large-cap counterparts for the month.

Whereas the proof factors in the 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 complete returns of 11.16% per yr, versus 5.70% annual complete returns for the Russell 2000 ETF.

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

We consider the extraordinarily sturdy efficiency of enormous know-how corporations during the last decade is no less than partially liable for the superior efficiency of the large-cap S&P 500 relative to small caps over that timeframe.

Remaining Ideas & Additional Studying

The Russell 2000 Index Checklist is a superb place to search for small-cap funding alternatives. Nevertheless, it isn’t the one place the place wonderful investments could be discovered.

Should you’re on the lookout for publicity to steady large-cap shares with strong dividend progress prospects, the next databases will show extra helpful than the Russell 2000 Index Checklist: