One Up On Wall Street – Book Review
One Up On Wall Street by Peter Lynch.
This was a great read! I’m sad that I waited so long to read it, it being a staple in the investment world.
Peter Lynch was a very successful money manager at Fidelity in the 70’s and 80’s. In this book, he provides insights into successful approaches to investing. One important way is to simply keep your eyes and ears open. If you happen to come across a product, a store, or a service that you like, ask yourself, “is this a public company?” If it is, then start doing your research on the company.
He has some general rules of thumb such as, “the more boring the company, the better,” and, “the fewer analysts that have heard of the company, the better.” The idea is that great companies aren’t always the hot stocks you hear about on the news or see on TV. The companies that get mass coverage are probably being overbought and are thus overpriced.
Consider your day-to-day experience with the products and services you use as old fashioned company research. If you like what you experience, then look into the company’s financials. If you like what you see, then look at what it costs to buy stock in the company. If you think you have a good deal in front of you, buy the stock.