IPA: /ˈmɪdˌkæp/
KK: /mɪdˌkæp/
Relating to companies that have a market capitalization that is larger than small-cap companies but smaller than large-cap companies.
Investors often look for midcap stocks as they can offer a balance of growth and stability.
Midcap → It is formed from "mid-" (meaning middle) and "cap" (short for capitalization, which comes from Latin "caput", meaning head or top). The term "midcap" refers to companies with a market capitalization that is in the middle range, between small-cap and large-cap companies.
Think of 'mid-' meaning middle and 'cap' relating to the top or head of a company's value — that's why midcap refers to companies that are in the middle range of market capitalization.