The Hitchhiker’s Guide to Peter Lynch Investing

Welcome to the guide.

It is a guide to the stock market, which is a large, invisible machine designed to move money from the nervous to the patient. It is also an remarkably improbable place where common sense is often treated as a forbidden technology.

Peter Lynch was a man who understood the machine. He was not a machine himself, which is why he was so good at it. He used things called “eyes” and “ears” to find companies that were actually doing something useful, rather than just shuffling digital bits in a high-frequency server rack.

We have built this guide because human beings are prone to forgetting. We forget that a stock is a piece of a business, not a number on a flickering terminal. We have categorized these lessons into ten volumes. You should read them as if your survival in the financial universe depended on it.

Here are the ten lessons you need to master. Don’t Panic.

The Lessons

1. Invest in What You Know
   • Using your organic advantage in a world of algorithms.
2. The PEG Ratio
   • Math for people who don’t like math, but like survival.
3. Tenbaggers
   • The search for the ultimate answer (which is usually a 1000% gain).
4. The Six Categories of Stocks
   • Know the animal before you pet it.
5. The Stomach vs. The Brain
   • Why your internal systems are trying to sabotage you.
6. Earnings Rule the World
   • The only truth in a galaxy of misinformation.
7. Know What You Own
   • Explain it clearly, or don’t buy it at all.
8. Avoiding Whisper Stocks
   • Stay away from miracles and other expensive disasters.
9. When to Sell
   • How to leave the restaurant before they bring the check.
10. The Diworseification Trap
    • Why owning everything is a very efficient way to own nothing.

About the Smartin Method

While you are reading, you may wonder if a machine can actually help a biological entity. We think it can. We built the Smartin App to automate the common sense that Peter Lynch advocated.

Don’t Panic. Read the guide. Use the app.

👉 Download Smartin: Quick Stock Ratings on the App Store today