Is Fidelity Contrafund (FCNTX) a Strong Mutual Fund Pick Right Now? (2024)

FAQs

Is Fidelity Contrafund (FCNTX) a Strong Mutual Fund Pick Right Now? ›

Overall, Fidelity Contrafund K ( FCNKX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively similar performance, average downside risk, and lower fees, this fund looks like a great potential choice for investors right now.

Assuming the 90 days horizon and your above-average risk tolerance, our recommendation regarding Fidelity Contrafund is 'Strong Buy'.

Fidelity Contrafund quote is equal to 13.740 USD at 2023-05-03. Based on our forecasts, a long-term increase is expected, the "Fidelity Contrafund" fund price prognosis for 2028-04-26 is 14.328 USD. With a 5-year investment, the revenue is expected to be around +4.28%.

In order to evaluate a fund, one should look at point-to-point returns over a 2-3 year holding period along with rolling returns of the fund. In addition to the returns, investors should also look at risk ratios to assess the risk-adjusted performance of the fund.

Overall, Fidelity Contrafund K ( FCNKX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively similar performance, average downside risk, and lower fees, this fund looks like a great potential choice for investors right now.

BOSTON (MarketWatch) -- Fidelity Investments is closing its biggest stock mutual fund, the $63.8 billion Contrafund, to new investors along with another fund run by William Danoff after the funds attracted billions of dollars in cash over a year.

According to consensus estimates, the market expects positive earnings growth of about 3% in 2023. It's possible earnings growth will hold up better than the average 18% decline during typical recessions, but we think there is downside risk relative to market expectations.

The Fidelity Contrafund is a growth and value stock fund that focuses on generating capital gains rather than income.

How long should you keep money in a mutual fund? ›

If you are actually looking at equity funds to help you achieve your long term goals then you at least need to give yourself a holding period of 8-10 years.

Cashing out mutual funds from an IRA or other qualified retirement account could trigger income tax on earnings, as well as an early withdrawal tax penalty. Withdrawing money from your investments to pay debt means missing out on future growth from compounding interest.

However, mutual funds are considered a bad investment when investors consider certain negative factors to be important, such as high expense ratios charged by the fund, various hidden front-end, and back-end load charges, lack of control over investment decisions, and diluted returns.

Most investors would view an average annual rate of return of 10% or more as a good ROI for long-term investments in the stock market. However, keep in mind that this is an average.

Generally speaking, if you're estimating how much your stock-market investment will return over time, we suggest using an average annual return of 6% and understanding that you'll experience down years as well as up years.

A 20% return is possible, but it's a pretty significant return, so you either need to take risks on volatile investments or spend more time invested in safer investments.

Brokered CDs,‡ which are issued by an FDIC-insured institution and held in Fidelity brokerage accounts, are also eligible for FDIC insurance. The coverage maximum for IRAs and brokerage accounts is $250,000 per bank. All FDIC insurance coverage is in accordance with FDIC rules.

Bottom Line. Overall, Vanguard and Fidelity are both great choices for those interested in investing. They offer a wide range of investment options, low costs, and hands-off or active management depending on your preference. When it comes to index funds, Vanguard is hard to beat, with hundreds of low-cost options.

Money market mutual funds = lowest returns, lowest risk

They are considered one of the safest investments you can make. Money market funds are used by investors who want to protect their retirement savings but still earn some interest — often between 1% and 3% a year.

Overall Rating

Morningstar has awarded this fund 4 stars based on its risk-adjusted performance compared to the 1139 funds within its Morningstar Category.

What are the top 10 holdings in Fidelity Contrafund? ›

“Savanna-Thomson State Bank is excited for the future. By acquiring Fidelity Bank, we will form an institution which will maintain our community focus while being able to provide additional banking products to our customer base,” said Robert Froehlich, President of Savanna-Thomson.

A recovery is coming, but no one knows when.

The stock market rallied modestly in the first two and a half months of 2023, but that has not been enough to make up for an abysmal 2022 during which the S&P 500 index plunged by nearly 19%.

The growth profile will show divergence: the Euro area will likely face a mild recession into late 2022/early 2023, while the U.S. is expected to slide into recession in late 2023. In currency markets, further dollar strength is still expected in 2023, but of a lower magnitude and different composition than in 2022.

Does Fidelity Contrafund pay a dividend? ›

The current dividend payout for stock Fidelity Contra Fund (FCNTX) as of May 6, 2023 is 0.08 USD. The forward dividend yield for FCNTX as of May 6, 2023 is 0.60%. Average dividend growth rate for stock Fidelity Contra Fund (FCNTX) for past three years is -5.12%.

Yes, we are talking about debt mutual funds here, not equity mutual funds. Debt mutual funds are likely to offer better returns in 2023. They will offer even higher returns when the RBI starts cutting interest rates.

The rule stipulates investing 90% of one's investment capital towards low-cost stock-based index funds and the remainder 10% to short-term government bonds.

If you invest the amount i.e Rs 1000 per month for 20 years, you have deposited a total of Rs 2.4 lakh during the period. On the basis of the annual 15 per cent return in 20 years, you will get about 15 lakh 16 thousand rupees. If this return is 20 per cent annually, the total fund will be around 31.61 lakhs.

However, if you have noticed significantly poor performance over the last two or more years, it may be time to cut your losses and move on. To help your decision, compare the fund's performance to a suitable benchmark or to similar funds. Exceptionally poor comparative performance should be a signal to sell the fund.

When the markets are in a slump, your entire corpus will be affected. So instead of a lump sum, an investor should consider investing through an STP (systematic transfer plan). In this, you invest your lump sum in a debt fund and it gets transferred to an equity fund in SIP mode.

Disadvantages include high fees, tax inefficiency, poor trade execution, and the potential for management abuses.

If you were to purchase shares of the fund prior to the record date, you could be paying taxes on income you didn't really earn. If you own mutual fund shares in a tax deferred account, distributions are not taxable. Taxable income is normally generated only when money is withdrawn.

About 40% of all large-cap funds fail over a 10-year period. That's because many fund managers are terrible stock pickers, and their funds are closed.

According to many financial investors, 7% is an excellent return rate for most, while 5% is enough to be considered a 'good' return. Still, an investor may make more or less than the average percentage since everything depends on the investment's circ*mstances.

Is 7% a good return? ›

A good return on investment is generally considered to be about 7% per year, based on the average historic return of the S&P 500 index, and adjusting for inflation. But of course what one investor considers a good return might not be ideal for someone else.

To get an annualized (compounded annually) 30% stock market return, Mark would probably need a 200/0 allocation. Yes, Mark would need a portfolio composed of 200% stocks. Anyone familiar with math knows that anything over 100% is not possible.

According to FIRE, your portfolio should cover 25 times your annual expenses. Then, if you withdraw 4% of your portfolio every year, your portfolio will continue to grow and won't be compromised. We can apply this formula to the goal of making $3,000 a month like this: $3,000 x 12 months x 25 years = $900,000.

Many consider a conservative rate of return in retirement 10% or less because of historical returns.

Is 50% a Good ROI? ROI of 50% can be considered good, but there are other factors to consider to understand if your investment was a good one.

It is not worth your time to do any investment if it cannot bring you 12 to 15 percent per year. Investing properly is not a gamble. We should not lose money in the stock market on a long term basis. In fact, a near guaranteed return of 15% or higher is a realistic expectation.

Since 1985, the Fidelity Contrafund has outperformed the S&P 500 by an impressive 225 basis points (CAGR: 13.17% vs 10.92%) with the same level of volatility. Hence, it's offered investors a higher rate of risk adjusted returns (SHARPE: 0.69 vs 0.55) with less market correlation (0.93 vs 0.99).

Fidelity National Financial Stock Forecast FAQ

Is Fidelity National Financial Stock a good buy in 2023, according to Wall Street analysts? The consensus among 5 Wall Street analysts covering (NYSE: FNF) stock is to Strong Buy FNF stock.

What will FDGRX stock price be in 2023? ›

If you are looking for funds with good return, Fidelity Growth Company fund can be a bad, high-risk 1-year investment option. Fidelity Growth Company quote is equal to 26.790 USD at 2023-05-06, but your current investment may be devalued in the future.

Stock Price Forecast

The 26 analysts offering 12-month price forecasts for Fidelity National Information Services Inc have a median target of 74.00, with a high estimate of 90.00 and a low estimate of 56.00. The median estimate represents a +32.52% increase from the last price of 55.84.

JACKSONVILLE, Fla., July 1, 2019 /PRNewswire/ -- Ameris Bancorp (NasdaqGS: ABCB) (the "Company") announced today that it completed the acquisition of Fidelity Southern Corporation (NasdaqGS: LION) ("Fidelity") as of July 1, 2019.

Fidelity Brokerage: Attribute Rankings

Fidelity ranked third on five other attributes in IBD's 2023 Best Online Brokers ranking: customer service, mobile trading platform/apps, portfolio analysis & reports, site performance and timely information on market shifts.

According to consensus estimates, the market expects positive earnings growth of about 3% in 2023. It's possible earnings growth will hold up better than the average 18% decline during typical recessions, but we think there is downside risk relative to market expectations.