Investing in small cap stocks tends to be more risky than large caps, but over the long course of history, small-cap stocks have outperformed their large cap peers -- and by a significant margin. And that makes sense: After all, it's easier for a small company to grow by leaps and bounds than it is for an already-large company.

Of course, that hasn't been the case for a while. In fact, we've just gone through an extraordinary period in which large cap stocks have outperformed small cap stocks for the second longest stretch since the 1930s.

However, one popular Wall Street analyst sees the tide turning. In fact, this analyst sees a potential 50% return for small caps in 2024, as the market rally broadens out and dirt cheap small caps "catch-up" in valuation to large caps as the economy improves.

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Source Fool.com