Peter Lynch classifies companies according to different characteristics such as size, growth potential, nature of industry etc.   This can actually be of great use to most investors. We have our portfolio of stocks, companies from different industries, at different phase of their growth. In general, if we ask what are the objectives of us investing in them? The first answer that comes to mind is of course, to make money! What other reasons can there be right, as no one will buy a share to lose money.   But if we were to probe deeper, the question we should actually be answering is how would these companies grow its earnings such that market recognises their ability to grow earnings, and in turn push up its price, realizing its value and growth, and present us with a chance to cash out on our profits.   Answering the question will affect how we position ......