Examples of such small-cap companies include specialty material company ATI Inc., and piping systems manufacturer Mueller Industries. Since 1990, stocks in the Russell 2000 small-cap index have included many non-earnings companies reporting operating losses. Small-cap stocks are usually more volatile (with greater price movements( than bigger-cap stocks. Many small-cap stocks have growth possibilities, and earnings projections forecast that some small-cap companies could do better soon. It’s true that many small-cap stocks have risks and are underperforming.