Stocks · Lesson 3 of 15
Types of Stocks, Small Caps & Largest Market Caps
Level: Beginner · About 12 min · 7 slides
A stock is partial ownership of a company. Stocks are grouped by size (market cap), by style (growth, value, dividend, blue chip) and by share class (common vs preferred). This lesson also shows the tickers ADT watches and a dated snapshot of the largest US companies.
🔑 Key takeaways
- Market cap = shares outstanding × price. Large > $10B, mid $2–10B, small $300M–2B, micro < $300M.
- Smaller companies usually mean more growth potential and more volatility.
- Growth = fast earnings growth; value = cheap vs. earnings; dividend = income.
- Common shares vote; preferred shares get fixed dividends but usually no vote.
- Rankings and prices go stale fast. Always check a live source.
✅ Your homework
- Look up the market cap of 5 stocks on the ADT watchlist and sort them into tiers.
- Find one growth, one value and one dividend stock and write why.
- Check today's top 10 US companies by market cap. What changed since Oct 1, 2025?
- Add 3 liquid names from this lesson to your paper-trading watchlist.
📎 Resources
- companiesmarketcap.com or your broker's screener, for live market caps
- ADT Academy: https://americandreamtradingacademy.com
