Fidelity Legend Peter Lynch Acquires 5.2% Stake in Penny Stock

(Bloomberg) — Peter Lynch is still searching for bargains on Wall Street at age 78, even if it involves a penny stock.

Most Read from Bloomberg

The former Fidelity Magellan fund manager acquired a 5.2% stake in Imac Holdings Inc., a provider of alternative medical treatments, offering a rare glimpse into the legendary investor’s portfolio.

Lynch tries to avoid owning more than 5% of a particular stock and didn’t realize that his $1.2 million stake put him over that threshold, requiring him to disclose it in a filing Wednesday, he said in an interview.

He likes small-cap stocks because “they are less well followed,” Lynch said, declining to discuss why he invested in Imac.

At Fidelity, Lynch generated annualized returns of 29% from 1977 to 1990, making him a Wall Street star who later wrote popular books on stock-picking.

Read more: Peter Lynch Says All-In on Passive Investing Is All Wrong

Shares of Brentwood, Tennessee-based Imac rose 4.3% to close Wednesday at 85 cents each, paring its decline for the year to 25%. The stock was down as much as 6.7% earlier in the day, but reversed course in the wake of Lynch’s filing with the Securities and Exchange Commission.

Most Read from Bloomberg Businessweek

©2022 Bloomberg L.P.

Read the full article

Trading Signals

Get Free Daily Trading insight

Follow US:

StocksJar Is A Comprehensive Investing Tool And Social Trading Network For Private Investors And Day Traders To Help Them To Gain An Advantage Before Trading.

this website uses cookies

We use cookies to ensure you get the best experience on our website. To learn more about cookies, including how to control cookies please read our cookies policy.