"Russell 2000 Hits Record December Highs, Outshines S&P 500 in Historic Rally"
Despite the Russell 2000 Index's recent surge, investors seeking quality small-cap stocks might consider the S&P Small Cap 600 Index, which requires profitability among other criteria for inclusion. The S&P Small Cap 600 has historically outperformed the Russell 2000, and a selection of stocks from this index shows significant upside potential according to analysts. However, investors should conduct their own research before investing, as the recent small-cap rally could be a "head fake" driven by short-covering rather than a sustainable trend.