Year-to-Date Weekly Chart

Small-Cap Growth vs. Value Stocks Investment Style

JKK vs JKL

Mstar Small-Cap Growth Ishares ETF vs Mstar Small-Cap Value Ishares ETF

Overview

We use ETFs to illustrate a lot of market activity here on Stavera. The reason that we do that is because it's very easy for an individual to change strategic investment weightings by buying and selling sector or some other style of ETF. It's nearly impossible for an individual to purchase a propertly weighted group of stocks on their own that would represent a sector or investment style.

We provide several key comparisons, like this one, to illustrate the difference between two investment styles. In this comparison we are comparing Small-Cap Growth vs. Value Stocks by using these two ETFs:

  • JKK: Mstar Small-Cap Growth Ishares ETF
  • JKL: Mstar Small-Cap Value Ishares ETF

Small Cap Growth

First, let us look at the performance over the last year of JKK - Mstar Small-Cap Growth Ishares ETF. The closing price on 2020-02-28 was $198.76 and the most recent closing price on 2021-03-05 the closing price was $297.98, for a total return of 49.9%.

A month ago, the price was at $297.98, for a total return of -14.3%.

Small Cap Value

Let's compare the performance to the performance of JKL - Mstar Small-Cap Value Ishares ETF. The closing price on 2020-02-28 was $122.36 and the most recent closing price on 2021-03-05 the closing price was $166.81, for a total return of 36.3%.

An investment a year ago in JKK would have yielded a 13.6% better return over the last year as compared to investing in JKL.

A month ago, the price of $JKL was at $151.94, for a total return of 8.9%. This was 23.2% better than JKK. Investing in JKK a year ago would have generated a better return than an investment in JKL but the performance in the latest month indicates that an investment a month ago in JKL would have been better than one in JKK.


Weekly Returns of JKK and JKL
The table below illustrates the weekly closing price of these ETFs and weekly return over the last month for each:
DescriptionJKK CloseReturnJKL CloseReturn
Month Ago340.59 151.94 
3 Wks Ago347.912.15%156.042.70%
2 Wks Ago339.58-2.39%157.550.97%
1 Wks Ago317.49-6.51%159.601.30%
Latest Wk297.98-6.15%166.814.52%


The return over the last month for JKK (Small Cap Growth) is -12.5%.
The return over the last month for JKL (Small Cap Value) is 9.8%.

The Small-Cap style contains the companies with a market value of less than $2 Billion. A growth stock is considered to be a stock that will grow in price and value than other companies in its industry, where a value stock has solid fundamentals and is priced below competitors based on an analysis of P/E ratios, yields and other metrics.




About the Writer

This page was created and is maintained by Kurt Tietjen, Founder of Stavera, High Peak Media & HomeGearWorks.com. Kurt is an executive, data scientist and software engineer who holds an MBA in Management Information Systems. In 2010, he partnered with scientists at Northwestern University to launch The Street Wire. This was one of the first mainstream uses of what would become “Narrative Science”, an artificial intelligence platform specializing in natural language generation. You can contact Kurt on LinkedIn here.