Fidelity’s Contrafund, FCNTX, Bet Against the Crowd and Got Enormous Doing It

Fidelity Contrafund (FCNTX) is a massive $157.8 billion mutual fund that attempts to outperform by going against the general market sentiment. Six tech giants dominate the portfolio, accounting for 35% of its holdings. However, two companies stand out as true contrarian investments: Arista Networks and Amphenol, which have delivered impressive returns of 795% and 370% respectively over five years.

Interestingly, the analyst who correctly predicted NVIDIA's potential in 2010 did not include the fund in his top 10 AI stocks list. Despite this, Fidelity Contrafund's mainstream approach often mirrors the crowd's sentiment, making it difficult for the fund to maintain its contrarian edge.