Most investors have a common habit: once a stock rises by 50%, 100%, or even 200%, they can't wait to sell. Lynch, however, believes this is the biggest 'anti-humanity trap' in investing.
He repeatedly emphasized, 'If you sell a stock when it has doubled, you will never own a ten-bagger.'
One real case is his investment in the Stop & Shop supermarket chain. This company expanded rapidly in the early 1980s, with profits growing year after year. After Lynch held it, its stock price quickly rose by 50%, then 100%. But he didn't rush to cash out; instead, he continued to hold and eventually achieved a return of over 10 times.
He wrote in his book, 'Too many people take profits at a 50% rise and then watch the stock continue to rise tenfold. The cost of selling too early is often your biggest loss.'
Long-term holding not only tests vision but also tests belief and patience. Lynch's secret lies in: as long as the company's fundamentals have not deteriorated, let the winners keep running. $SOL $XRP $ETH