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Mid caps: Overlooked and underloved

Dan Sherwood, portfolio manager of Fidelity Advisor Mid-Cap Stock Fund, shares his views on mid caps, his "sweet spot" of the market for investors seeking a balance of risk and return.

By: Fidelity Investments

Updated: 9/10/2025

Key Takeaways

Mid cap stocks may offer an attractive balance of growth potential and risk, providing exposure to companies that are still expanding while avoiding some of the volatility associated with smaller firms.
Being overlooked by the market can create opportunity. Mid cap companies often receive less attention than large cap stocks, which can lead to attractive valuations and underappreciated growth prospects.
The fund focuses on identifying companies with improving fundamentals, where earnings growth or positive business inflections may not yet be fully reflected in stock prices.

Next steps to consider

Fidelity Advisor Mid-Cap Stock Fund

Takes a growth-at-a-reasonable price (GARP) approach to investing.

Learn more

Fidelity Advisor Mid Cap II Fund

Seeks to own companies with above-average growth prospects with reasonable valuations.

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Fidelity Advisor Growth Strategies Fund

Seeks to invest in quality companies with persistent, above-average growth prospects and reasonable valuations.

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