Peter Lynch is an American author, philanthropist, mutual fund manager, and investor. Lynch managed the Magellan Fund at Fidelity Investments, which became the best-performing mutual fund in the world by regularly outperforming the S&P 500 stock market index with an average annual return of 29.2%. During his 13-year term, assets under supervision increased from US$18 million to $14 billion.
Peter Lynch is one of the brightest stars in the huge universe of the stock market. He spent many years leading the Magellan Fund and is well-known for his extraordinary stock selection skills, Lynch’s perspectives transcend the realm of finance, including life, perception, and the search for achievement. At Clicky News we’ve gathered the best collection of 70 Peter Lynch Investing Quotes, which you must read before buying stocks.
Best Peter Lynch Investing Quotes
These quotes from one of the all-time great fund managers are priceless teachings, not just advice on investments. They provide information on identifying opportunities, appreciating your possessions, and a host of other topics that shape Lynch’s financial philosophy.
Whether you’re a novice trader, an ambitious investor, or just someone looking for wisdom, these Peter Lynch Investing Quotes will broaden your knowledge, challenge your viewpoint, and motivate you to make wise choices.
- “All the math you need in the stock market you get in the fourth grade.”
- “Far more money has been lost by investors preparing for corrections, or trying to anticipate corrections, than has been lost in corrections themselves.”
- “Know what you own, and know why you own it.”
- “Invest in what you know.”
- “An important key to investing is to remember that stocks are not lottery tickets.”
- “You get recessions, you have stock market declines. If you don’t understand that’s going to happen, then you’re not ready, you won’t do well in the markets.”
- “Just because you buy a stock and it goes up does not mean you are right. Just because you buy a stock and it goes down does not mean you are wrong.”
- “Nobody can predict interest rates, the future direction of the economy, or the stock market. Dismiss all such forecasts and concentrate on what’s actually happening to the companies in which you’ve invested.”
- “There is always something to worry about. Avoid weekend thinking and ignoring the latest dire predictions of the newscasters. Sell a stock because the company’s fundamentals deteriorate, not because the sky is falling.”
- “When stocks are attractive, you buy them. Sure, they can go lower. I’ve bought stocks at $12 that went to $2, but then they later went to $30. You just don’t know when you can find the bottom.”
- “In the long run, it’s not just how much money you make that will determine your future prosperity. It’s how much of that money you put to work by saving it and investing it.”
- “Everyone has the brain power to make money in stocks. Not everyone has the stomach.”
- “The person that turns over the most rocks wins the game. And that’s always been my philosophy.”
- “When you sell in desperation, you always sell cheap.”
- “Stocks are a safe bet, but only if you stay invested long enough to ride out the corrections.”
- “Never invest in a company without understanding its finances. The biggest losses in stocks come from companies with poor balance sheets.”
- “Charts are great for predicting the past.”
Peter Lynch Investing Quotes for Traders
Peter Lynch was born in Newton, Massachusetts, on January 19, 1944. Lynch’s father was diagnosed with brain cancer when he was seven. His mother had to work to support her family after his father died. Lynch states that initially in his early teens, he worked as a caddie so he could support the family.
Lynch used the money he saved as a sophomore at Boston College to purchase 100 shares of Flying Tiger Airlines at $7 each. The stock would subsequently grow to $80 per share, the revenues from which helped pay for his studies.
No doubt in the vast realm of the stock market, Lynch stands out as one of the greatest. He is highly renowned for his exceptional abilities in selecting stocks. Lynch discusses life, perception, and the pursuit of success in addition to topics related to finance.
The following Peter Lynch Investing Quotes are invaluable teachings, not just investment advice from one of the world’s best fund managers. They offer advice on spotting opportunities, valuing your assets, and a variety of other issues.
- “Your ultimate success or failure will depend on your ability to ignore the worries of the world long enough to allow your investments to succeed.”
- “Equity mutual funds are the perfect solution for people who want to own stocks without doing their own research.”
- “I don’t know anyone who said on their deathbed: ‘Gee, I wish I’d spent more time at the office.’”
- “You can’t see the future through a rearview”
- “I think you have to learn that there’s a company behind every stock and that there’s only one real reason why stocks go up. Companies go from doing poorly to doing well or small companies grow to large companies.”
- “Searching for companies is like looking for grubs under rocks: if you turn over 10 rocks you’ll likely find one grub; if you turn over 20 rocks you’ll find two.”
- “Spend at least as much time researching a stock as you would choosing a refrigerator.”
- “Hold no more stocks than you can remain informed on.”
- “If you’re prepared to invest in a company, then you ought to be able to explain why in simple language that a fifth grader could understand, and quickly enough so the fifth grader won’t get bored.”
- “As I look back on it now, it’s obvious that studying history and philosophy was much better preparation for the stock market than, say, studying statistics.”
- “Investing is fun and exciting, but dangerous if you don’t do any work.”
- “Avoid hot stocks in hot industries.”
- “When even the analysts are bored, it’s time to start buying.”
- “The real key to making money in stocks is not to get scared out of them.”
- “What makes stocks valuable in the long run isn’t the market. It’s the profitability of the shares in the companies you own. As corporate profits increase, corporations become more valuable and sooner or later, their shares will sell for a higher price.”
- “In business, competition is never as healthy as total domination.”
- “If you can follow only one bit of data, follow the earnings – assuming the company in question has earnings. I subscribe to the crusty notion that sooner or later earnings make or break an investment in equities. What the stock price does today, tomorrow, or next week is only a distraction.”
Motivating Peter Lynch Investing Quotes
Peter Lynch’s quotes serve as a guideline for all investors. After all, he is an investment expert who raised the Fidelity Magellan fund from $18 million to $14 billion in thirteen years, cementing his reputation as a legend and one of the best investors of all time.
Lynch has also written and co-authored multiple books. His most prominent works are “Learn to Earn,” “Beating the Street,” and “One Up on Wall Street.”
The following are the top Peter Lynch Investing Quotes full of investing wisdom and insightful counsel that can provide investors with the direction to help build or hone a successful investment strategy.
- “The biggest winners are surprises to me, and takeovers are even more surprising. It takes years, not months, to produce big results.”
- The trick is not to learn to trust your gut feelings, but rather to discipline yourself to ignore them. Stand by your stocks as long as the fundamental story of the company hasn’t changed.
- Owning stocks is like having children – don’t get involved with more than you can handle.
- Whenever you invest in any company, you’re looking for its market cap to rise. This can’t happen unless buyers are paying higher prices for the shares, making your investment more valuable.
- Time is on your side when you own shares of superior companies.
- People who succeed in the stock market also accept periodic losses, setbacks, and unexpected Calamitous drops do not scare them out of the game.
- Know what you own, and know why you own it.
- Average investors can become experts in their own field and can pick winning stocks as effectively as Wall Street professionals by doing just a little research. In stocks as in romance, ease of divorce is not a sound basis for commitment.
- Every time you have one of these recessions, there are always groups who say it is different this time. We won’t get out of this one.
- When you sell in desperation, you always sell cheap.
- The key to making money in stocks is not to get scared out of them.
- “I spend about fifteen minutes a year on economic analysis.”
Inspirational Peter Lynch Investing Quotes
Lynch believes that consumers should buy equities with the intention of holding them for the long term. Volatility is an unavoidable element of the stock market, and investors should refrain from selling as long as the firms underlying the stocks continue to perform well.
If the stock price of a good company falls, it is a great opportunity to buy more if the fundamentals remain strong. The following Peter Lynch Investing Quotes are packed with investing expertise and practical guidance that can help investors establish or refine a winning investment plan.
- “I’ve always said, the key organ here isn’t the brain, it’s the stomach. When things start to decline – there are bad headlines in the papers and on television – will you have the stomach for the market volatility and the broad-based pessimism that tends to come with it?”
- “There’s no shame in losing money on a stock. Everybody does it. What is shameful is to hold on to a stock, or worse, to buy more of it when the fundamentals are deteriorating.”
- If you’re prepared to invest in a company, then you ought to be able to explain why in simple language that a fifth grader could understand, and quickly enough so the fifth grader won’t get bored.”
- There’s no such thing as a worry-free investment. The trick is to separate the valid worries from the idle worries, and then check the worries against the facts.
- With every company, there is something to worry about, but the question is, which worries are valid and which are not?
- Remember, things are never clear until it’s too late.
- There’s no shame in losing money on a stock. Everybody does it. What is shameful is to hold on to a stock, or worse, to buy more of it when the fundamentals are deteriorating.
- The strength of our economy is that it is dynamic and always adapting to changing conditions. That’s our advantage in the world.
- My idea of a great business is one that has a shortage of competitors.
- In business, competition is never as healthy as total domination.
- Your investor’s edge is not something you get from Wall Street experts. It’s something you already have.
- You can outperform the experts if you use your edge by investing in companies or industries you already understand.
- If you can follow only one bit of data, follow the earnings—assuming the company in question has earnings. As you’ll see in this text, I subscribe to the crusty notion that sooner or later earnings make or break an investment in equities. What the stock price does today, tomorrow, or next week is only a distraction.”
- Behind every stock is a company. Find out what it’s doing.
- Never invest in any company before you’ve done the homework on the company’s earnings prospects, financial condition, competitive position, etc.
- Big companies have small moves, small companies have big moves.
- All else being equal, invest in the company with the fewest color photographs in the annual report.
- Job insecurity has been a problem for as long as people have depended on a paycheck.
- If it’s a choice between investing in a good company in a great industry, or a great company in a lousy industry, I’ll take the great company in the lousy industry any day.
- Gentlemen who prefer bonds don’t know what they’re missing.
- Good management, a strong balance sheet, and a sensible plan of action will overcome many obstacles, but when you’ve got weak management, a weak balance sheet, and a misguided plan of action, the greatest industry in the world won’t bail you out.”
- Go for a business that any idiot can run – because sooner or later any idiot probably is going to be running it.
- The old Wall Street adage “never invest in anything that eats or needs repairs” may apply to racehorses, but it’s malarkey when it comes to houses.
These Peter Lynch Investing Quotes are a great source of advice on how to make smart investments and what to consider when choosing a stock. Lynch suggests that investors purchase and hold onto stock in reputable companies over an extended period after doing extensive research on them.
Lynch shares Warren Buffett’s belief that patient investors who put money into reputable companies with promising financial prospects will eventually reap rewards.
We hope you like our list of 70 best Peter Lynch Investing Quotes. For more quotes on various other topics must visit Clicky News.