Summary of Great Investors: Peter Lynch

The Bottom Line

Lynch firmly believes that average investors can beat Wall Street professionals. He recommends investing only in what you understand and doing your research. By finding great companies with strong fundamentals at bargain prices, he argues that you will have the next big winners in hand before the professional investors. Lynch encapsulated this point well when he said, "The basic story remains simple and never-ending. Stocks aren’t lottery tickets. There’s a company attached to every share. Companies do better or they do worse. If a company does worse than before, its stock will fall. If a company does better, its stock will rise. If you own good companies that continue to increase their earnings, you’ll do well."