{"id":22531,"date":"2025-06-06T09:11:15","date_gmt":"2025-06-06T08:11:15","guid":{"rendered":"https:\/\/latribune.lazardfreresgestion.fr\/?p=22531"},"modified":"2025-06-06T09:11:15","modified_gmt":"2025-06-06T08:11:15","slug":"small-caps-make-a-comeback","status":"publish","type":"post","link":"https:\/\/latribune.lazardfreresgestion.fr\/en\/small-caps-make-a-comeback\/","title":{"rendered":"Small Caps Make a Comeback"},"content":{"rendered":"<h2>Chart of the Week<\/h2>\n<p>Since 2018, European small caps have significantly underperformed large caps. By the end of April 2025, they were trading at a record discount of around 20% compared to large caps. This is striking as small caps have historically traded at a premium to large caps.<\/p>\n<p>But in recent months, the tide seems to have turned. After widening its underperformance by nearly 7% against the MSCI Europe (Large Cap index) in January and February, the MSCI Europe Small Cap index made an impressive comeback between early March and early June.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-22532\" src=\"https:\/\/latribune.lazardfreresgestion.fr\/wp-content\/uploads\/2025\/06\/GDS-0606EN.png\" alt=\"\" width=\"1295\" height=\"586\" srcset=\"https:\/\/latribune.lazardfreresgestion.fr\/wp-content\/uploads\/2025\/06\/GDS-0606EN.png 1295w, https:\/\/latribune.lazardfreresgestion.fr\/wp-content\/uploads\/2025\/06\/GDS-0606EN-300x136.png 300w, https:\/\/latribune.lazardfreresgestion.fr\/wp-content\/uploads\/2025\/06\/GDS-0606EN-1024x463.png 1024w, https:\/\/latribune.lazardfreresgestion.fr\/wp-content\/uploads\/2025\/06\/GDS-0606EN-768x348.png 768w\" sizes=\"auto, (max-width: 1295px) 100vw, 1295px\" \/><\/p>\n<h3><b>OUR <\/b><b>ANALYSIS<\/b><\/h3>\n<p>Two key factors appear to be driving this turnaround. First, the announcement of Germany&#8217;s investment plan in early March-a stimulus package aimed at boosting the German economy\u00adsparked renewed optimism for European growth. Second, European small caps have been less affected by concerns over U.S. tariffs. Since smaller companies tend to be more domestically focused than large caps, they are less reliant on exports to the United States, insulating them from tariff-related pressures.<\/p>\n<p>Another noteworthy point is the strong earnings growth among eurozone small caps. As of the end of May, earnings growth for small caps was projected at an impressive + 15% for 2025, according to Bloomberg. In contrast, expectations for large-cap earnings growth have been scaled back significantly, dropping to just +2.5% for 2025-down from the +6% forecast at the start of the year.<\/p>\n<p>***<\/p>\n<p>Written on 6 june 2025. Opinions subject to change.<\/p>\n<p>See also: <a href=\"https:\/\/latribune.lazardfreresgestion.fr\/en\/credit-markets-have-wiped-out-the-march-april-shock\/\">Credit markets have wiped out the March-April shock<\/a><\/p>\n<p>This document is not pre-contractual or contractual in nature. It is provided for information purposes. The analyses and descriptions contained in this document shall not be interpreted as being advice or recommendations on the part of Lazard Fr\u00e8res Gestion SAS. This document does not constitute an offer or invitation to purchase or sell, nor an encouragement to invest. This document is the intellectual property of Lazard Fr\u00e8res Gestion SAS. LAZARD FRERES GESTION \u2013 a simplified joint stock company with share capital of \u20ac14,487,500 \u2013 Paris Trade and Companies Registry No. 352 213 599. 25, RUE DE COURCELLES \u2013 75008 PARIS, FRANCE<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Chart of the Week Since 2018, European small caps have significantly underperformed large caps. By the end of April 2025,&hellip; <\/p>\n","protected":false},"author":101016,"featured_media":22527,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[148],"tags":[2621,2710],"class_list":["post-22531","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-chart-of-the-week","tag-europ","tag-smallcap-en"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Small Caps Make a Comeback<\/title>\n<meta name=\"description\" content=\"Since 2018, European small caps have significantly underperformed large caps. By the end of April 2025, they were trading at a record discount of around 20% compared to large caps.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/latribune.lazardfreresgestion.fr\/en\/small-caps-make-a-comeback\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Small Caps Make a Comeback\" \/>\n<meta property=\"og:description\" content=\"Since 2018, European small caps have significantly underperformed large caps. By the end of April 2025, they were trading at a record discount of around 20% compared to large caps.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/latribune.lazardfreresgestion.fr\/en\/small-caps-make-a-comeback\/\" \/>\n<meta property=\"og:site_name\" content=\"Tribune Lazard Fr\u00e8res Gestion\" \/>\n<meta property=\"article:published_time\" content=\"2025-06-06T08:11:15+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/latribune.lazardfreresgestion.fr\/wp-content\/uploads\/2025\/06\/GDS-0606-scaled.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"2560\" \/>\n\t<meta property=\"og:image:height\" content=\"1485\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Lazard Freres Gestion\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@LazardGestion\" \/>\n<meta name=\"twitter:site\" content=\"@LazardGestion\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Lazard Freres Gestion\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/small-caps-make-a-comeback\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/small-caps-make-a-comeback\\\/\"},\"author\":{\"name\":\"Lazard Freres Gestion\",\"@id\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/#\\\/schema\\\/person\\\/4a2bad19c535814f1e1473d181f83e9c\"},\"headline\":\"Small Caps Make a Comeback\",\"datePublished\":\"2025-06-06T08:11:15+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/small-caps-make-a-comeback\\\/\"},\"wordCount\":340,\"publisher\":{\"@id\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/#organization\"},\"image\":{\"@id\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/small-caps-make-a-comeback\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/wp-content\\\/uploads\\\/2025\\\/06\\\/GDS-0606-scaled.jpg\",\"keywords\":[\"Europ\",\"smallcap\"],\"articleSection\":[\"Chart of the week\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/small-caps-make-a-comeback\\\/\",\"url\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/small-caps-make-a-comeback\\\/\",\"name\":\"Small Caps Make a Comeback\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/small-caps-make-a-comeback\\\/#primaryimage\"},\"image\":{\"@id\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/small-caps-make-a-comeback\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/wp-content\\\/uploads\\\/2025\\\/06\\\/GDS-0606-scaled.jpg\",\"datePublished\":\"2025-06-06T08:11:15+00:00\",\"description\":\"Since 2018, European small caps have significantly underperformed large caps. By the end of April 2025, they were trading at a record discount of around 20% compared to large caps.\",\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/small-caps-make-a-comeback\\\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/small-caps-make-a-comeback\\\/#primaryimage\",\"url\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/wp-content\\\/uploads\\\/2025\\\/06\\\/GDS-0606-scaled.jpg\",\"contentUrl\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/wp-content\\\/uploads\\\/2025\\\/06\\\/GDS-0606-scaled.jpg\",\"width\":2560,\"height\":1485},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/#website\",\"url\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/\",\"name\":\"Tribune Lazard Fr\u00e8res Gestion\",\"description\":\"Blog\",\"publisher\":{\"@id\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/#organization\",\"name\":\"Lazard Fr\u00e8res Gestion\",\"url\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/#\\\/schema\\\/logo\\\/image\\\/\",\"url\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/wp-content\\\/uploads\\\/2019\\\/03\\\/LOGOLINKEDINVF-2.png\",\"contentUrl\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/wp-content\\\/uploads\\\/2019\\\/03\\\/LOGOLINKEDINVF-2.png\",\"width\":5000,\"height\":5000,\"caption\":\"Lazard Fr\u00e8res Gestion\"},\"image\":{\"@id\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/#\\\/schema\\\/logo\\\/image\\\/\"},\"sameAs\":[\"https:\\\/\\\/x.com\\\/LazardGestion\",\"https:\\\/\\\/www.linkedin.com\\\/company\\\/lazard-freres-gestion\\\/\",\"https:\\\/\\\/www.youtube.com\\\/channel\\\/UCI1a03ScxMW6clPl82UO_tQ\"]},{\"@type\":\"Person\",\"@id\":\"https:\\\/\\\/latribune.lazardfreresgestion.fr\\\/en\\\/#\\\/schema\\\/person\\\/4a2bad19c535814f1e1473d181f83e9c\",\"name\":\"Lazard Freres Gestion\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/128f0714f61071a51906906969e21f6ee66c72ddf9e381e561272ca0fbd906eb?s=96&d=mm&r=g\",\"url\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/128f0714f61071a51906906969e21f6ee66c72ddf9e381e561272ca0fbd906eb?s=96&d=mm&r=g\",\"contentUrl\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/128f0714f61071a51906906969e21f6ee66c72ddf9e381e561272ca0fbd906eb?s=96&d=mm&r=g\",\"caption\":\"Lazard Freres Gestion\"}}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Small Caps Make a Comeback","description":"Since 2018, European small caps have significantly underperformed large caps. By the end of April 2025, they were trading at a record discount of around 20% compared to large caps.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/latribune.lazardfreresgestion.fr\/en\/small-caps-make-a-comeback\/","og_locale":"en_US","og_type":"article","og_title":"Small Caps Make a Comeback","og_description":"Since 2018, European small caps have significantly underperformed large caps. By the end of April 2025, they were trading at a record discount of around 20% compared to large caps.","og_url":"https:\/\/latribune.lazardfreresgestion.fr\/en\/small-caps-make-a-comeback\/","og_site_name":"Tribune Lazard Fr\u00e8res Gestion","article_published_time":"2025-06-06T08:11:15+00:00","og_image":[{"width":2560,"height":1485,"url":"https:\/\/latribune.lazardfreresgestion.fr\/wp-content\/uploads\/2025\/06\/GDS-0606-scaled.jpg","type":"image\/jpeg"}],"author":"Lazard Freres Gestion","twitter_card":"summary_large_image","twitter_creator":"@LazardGestion","twitter_site":"@LazardGestion","twitter_misc":{"Written by":"Lazard Freres Gestion","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/latribune.lazardfreresgestion.fr\/en\/small-caps-make-a-comeback\/#article","isPartOf":{"@id":"https:\/\/latribune.lazardfreresgestion.fr\/en\/small-caps-make-a-comeback\/"},"author":{"name":"Lazard Freres Gestion","@id":"https:\/\/latribune.lazardfreresgestion.fr\/en\/#\/schema\/person\/4a2bad19c535814f1e1473d181f83e9c"},"headline":"Small Caps Make a Comeback","datePublished":"2025-06-06T08:11:15+00:00","mainEntityOfPage":{"@id":"https:\/\/latribune.lazardfreresgestion.fr\/en\/small-caps-make-a-comeback\/"},"wordCount":340,"publisher":{"@id":"https:\/\/latribune.lazardfreresgestion.fr\/en\/#organization"},"image":{"@id":"https:\/\/latribune.lazardfreresgestion.fr\/en\/small-caps-make-a-comeback\/#primaryimage"},"thumbnailUrl":"https:\/\/latribune.lazardfreresgestion.fr\/wp-content\/uploads\/2025\/06\/GDS-0606-scaled.jpg","keywords":["Europ","smallcap"],"articleSection":["Chart of the week"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/latribune.lazardfreresgestion.fr\/en\/small-caps-make-a-comeback\/","url":"https:\/\/latribune.lazardfreresgestion.fr\/en\/small-caps-make-a-comeback\/","name":"Small Caps Make a Comeback","isPartOf":{"@id":"https:\/\/latribune.lazardfreresgestion.fr\/en\/#website"},"primaryImageOfPage":{"@id":"https:\/\/latribune.lazardfreresgestion.fr\/en\/small-caps-make-a-comeback\/#primaryimage"},"image":{"@id":"https:\/\/latribune.lazardfreresgestion.fr\/en\/small-caps-make-a-comeback\/#primaryimage"},"thumbnailUrl":"https:\/\/latribune.lazardfreresgestion.fr\/wp-content\/uploads\/2025\/06\/GDS-0606-scaled.jpg","datePublished":"2025-06-06T08:11:15+00:00","description":"Since 2018, European small caps have significantly underperformed large caps. By the end of April 2025, they were trading at a record discount of around 20% compared to large caps.","inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/latribune.lazardfreresgestion.fr\/en\/small-caps-make-a-comeback\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/latribune.lazardfreresgestion.fr\/en\/small-caps-make-a-comeback\/#primaryimage","url":"https:\/\/latribune.lazardfreresgestion.fr\/wp-content\/uploads\/2025\/06\/GDS-0606-scaled.jpg","contentUrl":"https:\/\/latribune.lazardfreresgestion.fr\/wp-content\/uploads\/2025\/06\/GDS-0606-scaled.jpg","width":2560,"height":1485},{"@type":"WebSite","@id":"https:\/\/latribune.lazardfreresgestion.fr\/en\/#website","url":"https:\/\/latribune.lazardfreresgestion.fr\/en\/","name":"Tribune Lazard Fr\u00e8res Gestion","description":"Blog","publisher":{"@id":"https:\/\/latribune.lazardfreresgestion.fr\/en\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/latribune.lazardfreresgestion.fr\/en\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/latribune.lazardfreresgestion.fr\/en\/#organization","name":"Lazard Fr\u00e8res Gestion","url":"https:\/\/latribune.lazardfreresgestion.fr\/en\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/latribune.lazardfreresgestion.fr\/en\/#\/schema\/logo\/image\/","url":"https:\/\/latribune.lazardfreresgestion.fr\/wp-content\/uploads\/2019\/03\/LOGOLINKEDINVF-2.png","contentUrl":"https:\/\/latribune.lazardfreresgestion.fr\/wp-content\/uploads\/2019\/03\/LOGOLINKEDINVF-2.png","width":5000,"height":5000,"caption":"Lazard Fr\u00e8res Gestion"},"image":{"@id":"https:\/\/latribune.lazardfreresgestion.fr\/en\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/x.com\/LazardGestion","https:\/\/www.linkedin.com\/company\/lazard-freres-gestion\/","https:\/\/www.youtube.com\/channel\/UCI1a03ScxMW6clPl82UO_tQ"]},{"@type":"Person","@id":"https:\/\/latribune.lazardfreresgestion.fr\/en\/#\/schema\/person\/4a2bad19c535814f1e1473d181f83e9c","name":"Lazard Freres Gestion","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/secure.gravatar.com\/avatar\/128f0714f61071a51906906969e21f6ee66c72ddf9e381e561272ca0fbd906eb?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/128f0714f61071a51906906969e21f6ee66c72ddf9e381e561272ca0fbd906eb?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/128f0714f61071a51906906969e21f6ee66c72ddf9e381e561272ca0fbd906eb?s=96&d=mm&r=g","caption":"Lazard Freres Gestion"}}]}},"_links":{"self":[{"href":"https:\/\/latribune.lazardfreresgestion.fr\/en\/wp-json\/wp\/v2\/posts\/22531","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/latribune.lazardfreresgestion.fr\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/latribune.lazardfreresgestion.fr\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/latribune.lazardfreresgestion.fr\/en\/wp-json\/wp\/v2\/users\/101016"}],"replies":[{"embeddable":true,"href":"https:\/\/latribune.lazardfreresgestion.fr\/en\/wp-json\/wp\/v2\/comments?post=22531"}],"version-history":[{"count":1,"href":"https:\/\/latribune.lazardfreresgestion.fr\/en\/wp-json\/wp\/v2\/posts\/22531\/revisions"}],"predecessor-version":[{"id":22534,"href":"https:\/\/latribune.lazardfreresgestion.fr\/en\/wp-json\/wp\/v2\/posts\/22531\/revisions\/22534"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/latribune.lazardfreresgestion.fr\/en\/wp-json\/wp\/v2\/media\/22527"}],"wp:attachment":[{"href":"https:\/\/latribune.lazardfreresgestion.fr\/en\/wp-json\/wp\/v2\/media?parent=22531"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/latribune.lazardfreresgestion.fr\/en\/wp-json\/wp\/v2\/categories?post=22531"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/latribune.lazardfreresgestion.fr\/en\/wp-json\/wp\/v2\/tags?post=22531"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}