Nicholas Fund, Inc.

NICSX

Multi-cap Growth

Nicholas Fund, Inc. is our flagship fund with its long history beginning in 1969. The lead portfolio manager is David O. Nicholas, CFA with Michael L. Shelton serving as co-portfolio manager. Nicholas Fund was launched two years after Albert “Ab” O. Nicholas started Nicholas Company, Inc. Nicholas Fund utilizes a multi-cap growth strategy that allows the portfolio manager to pursue the best growth opportunities in the market without being constrained by arbitrary market capitalization guidelines. Nicholas Fund is generally focused on mid and larger capitalized stocks, but will invest in smaller companies where the investment team finds opportunity.

While the entire market spectrum is a target universe for this strategy, Nicholas Company has long had a primary focus on stocks with mid and small capitalizations. Early on we recognized the potential for these smaller sized companies to offer greater growth potential than larger cap stocks, and greater opportunity to identify companies that Wall Street may have overlooked. The Fund will invest in larger cap stocks that we believe may have fallen out of favor with Wall Street, offer significant valuation or growth opportunities and may lend stability to the portfolio with their consistent growth. Nicholas Fund offers a mix of companies with varying capitalizations, and the mix can change as stock valuations change. A critical component to the Fund’s style is buying stocks at valuations that offer the best opportunity over the long-run and that we believe may provide a margin of safety against declining stock prices. Nicholas has long been a proponent for buying stocks at valuations that are affordable relative to their long-term potential and owning them for the long-term… years, not days or months. We believe the Fund’s history suggests this approach can produce more consistent, risk-adjusted returns over time.

Snapshot
Objective
Performance
Portfolio Manager
Distribution History
Documents &
Forms

Investment Approach

Nicholas Fund pursues long-term capital growth through a diversified stock portfolio of small- to large-sized companies with capitalizations generally between $1 to $100 billion. The Fund is typically benchmarked against the Standard & Poor’s 500 Index.

Fund Facts

(09/30/2024)

Lead-Portfolio Manager:	David O. Nicholas
Co-Portfolio Manager:	Michael L. Shelton
Co-Portfolio Manager:	Jeffrey J. Strong
Style:	Multi-cap Growth
Fund Inception:	07/14/1969
Fund Assets (millions):	$4,268.0
Number of Holdings:	60

Minimum Initial Investment:	$500
Fiscal Year-End:	March 31
Prospectus Date:	July
Cusip:	653735100
Ticker	NICSX

Sector Diversification

(09/30/2024)

Top Equity Holdings

(9/30/2024)

Microsoft Corporation	4.60%
Alphabet Inc. Class C	4.37%
Amazon.com, Inc.	3.62%
Apple Inc.	3.19%
NVIDIA Corporation	2.27%
O'Reilly Automotive, Inc.	2.24%
Costco Wholesale Corporation	2.18%
Home Depot, Inc.	2.18%
Fiserv, Inc.	2.07%
S&P Global, Inc.	1.99%

Morningstar Ratings

	Rating	# of Funds
Overall		1,076
3 Year		1,076
5 Year		1,005
10 Year		788

Morningstar Category: Large Growth
Source: Morningstar, as of September 30, 2024.
The Overall Morningstar Rating™ for a fund is derived from a weighted average
of the risk-adjusted performance figures associated with its three-,five- and ten year (if applicable) Morningstar Rating™ metrics.

© [2024] Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or loses arising from any use of this information. For each fund with at least a three-year history, Morningstar calculates a Morningstar Rating ™ (based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a fund’s monthly performance, including the effects of sales charges, loads, and redemption fees), placing more emphasis on downward variations and rewarding consistent performance. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars and the bottom 10% receive 1 star. (Each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in the distribution percentages.) One cannot invest directly in an index. Fund holdings and/or sector weightings are subject to change at any time and are not recommendations to buy or sell any security.

The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period has the greatest impact because it is included in all three rating periods.

Past performance does not guarantee future results.

Investment Objective

Nicholas Fund, Inc. strives to increase the value of your investment over the long-term (“long-term growth”) by investing in a diversified portfolio that includes primarily medium- and large-sized companies. Small companies also may be considered. Our goal is to find what we believe are great companies and hold them for the long-term.

Investment Policies & Considerations

Nicholas Fund’s management team believes that company selection is a key to providing superior returns over time. Our goal is to find growth companies that are reasonably priced by identifying stocks that have low price-to-earnings ratios relative to their earnings growth or those that are attractively priced relative to book value. Above average earnings growth and strong future growth potential are important characteristics in the companies we consider. When selecting portfolio holdings, from among the stocks that meet our criteria, we often take a contrary view and choose lesser known or out-of-favor companies as they generally offer the best values. Some of the factors we consider in assessing companies include:

Growth rate of 10% or better
Consistent earnings
Return on equity (ROE) of 15% or an improving ROE
Debt to total capitalization of less than 50%
A price to earnings ratio lower than two times the growth rate
An enduring franchise or brand
Honest, capable management
Significant management ownership of stock
Long-term and short-term business momentum

It is our strong conviction that superior long-term results are achieved by minimizing capital losses in adverse markets. We do not attempt to forecast short-term market swings, but work to preserve gains and minimize losses using long-term, fundamental valuation techniques. Our portfolio turnover is moderate as our goal is to find, and hold, great companies. However, if a company’s stock is not meeting our expectations, or has become over valued, we will sell it.

At Nicholas, our watchword is patience. We believe it is a key to superior long-term results.

Quarter-End Performance
Month-End Performance
Quarterly Performance Presentation

As of September 30, 2024

Average Annual Returns

Fund	3 Month	YTD	1 Year	3 Year	5 Year	10 Year
Nicholas Fund (NICSX)	4.23%	15.77%	31.56%	11.85%	15.71%	12.17%
Nicholas II - Class I (NCTWX)	4.54%	7.57%	21.54%	4.08%	9.63%	10.53%
Nicholas II - Class N (NNTWX)	4.47%	7.31%	21.18%	3.77%	9.31%	10.18%
Nicholas Limited Edition - Class I (NCLEX)	7.92%	10.95%	21.44%	2.34%	9.29%	10.21%
Nicholas Limited Edition - Class N (NNLEX)	7.83%	10.71%	21.09%	2.05%	9.02%	9.89%
Nicholas Equity Income Fund (NSEIX)	8.01%	13.94%	25.19%	7.87%	10.56%	9.53%

Performance data quoted represents past performance and does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Performance current to the most recent month end may be lower or higher than the performance quoted.

As of November 30, 2024

Average Annual Returns

Fund	3 Month	YTD	1 Year	3 Year	5 Year	10 Year
Nicholas Fund (NICSX)	6.27%	22.12%	27.30%	11.78%	15.74%	11.90%
Nicholas II - Class I (NCTWX)	7.91%	14.46%	24.23%	5.66%	10.04%	10.49%
Nicholas II - Class N (NNTWX)	7.84%	14.12%	23.85%	5.34%	9.71%	10.13%
Nicholas Limited Edition - Class I (NCLEX)	8.77%	19.30%	29.34%	4.13%	9.47%	10.19%
Nicholas Limited Edition - Class N (NNLEX)	8.68%	18.96%	28.94%	3.81%	9.19%	9.87%
Nicholas Equity Income Fund (NSEIX)	3.17%	15.95%	21.56%	7.38%	10.25%	9.20%

Click the icon below to access the
Fund's Quarterly Performance Presentation

Nicholas Fund's Expense Ratio:	0.70%
Nicholas II – Class I's Expense Ratio:	0.60%
Nicholas II – Class N's Expense Ratio:	0.91%
Nicholas Limited Edition – Class I's Expense Ratio:	0.85%
Nicholas Limited Edition – Class N's Expense Ratio:	1.16%
Nicholas Equity Income Fund's Expense Ratio:	0.70%

Please wait while we gather your results.

David O. Nicholas, CFA

Chief Executive Officer, President, Chief Investment Officer and Portfolio Manager
Industry experience: 41 years
Nicholas Company Tenure: 38 years
Lead Portfolio Manager - Nicholas Fund, Inc., Nicholas II, Inc. and Nicholas Limited Edition, Inc.
Co-Portfolio Manager - Nicholas Equity Income Fund, Inc.

Dave Nicholas joined Nicholas Company as an investment analyst in 1986. He serves in a leadership position for the company as CEO and President, while primarily focusing his efforts day-to-day on investments as a Portfolio Manager and the Chief Investment Officer. Dave has developed his philosophy and skills over the past thirty years under the guidance of the long-held investment philosophy and process developed by Albert O. Nicholas, the founder of Nicholas Company. This opportunity has allowed Dave to gain a deep experience and knowledge analyzing companies and the equity markets.

Dave’s approach is aligned with the Nicholas core investment philosophy and process, while adjusting it to meet the characteristics of various capitalization growth companies. Core elements to the philosophy include identifying companies with secular growth capabilities, consistent earnings growth, strong balance sheets and solid management teams. Dave also shares a preference for non-consensus strategies when market opportunities arise.

Dave is the lead portfolio manager of Nicholas Fund, Nicholas II and Nicholas Limited Edition, while serving as co-manager for Nicholas Equity Income Fund. As Chief Investment Officer he guides the firm’s investment process and the investment team on a day-to-day basis.

Dave earned a B.B.A. in Finance from the University of Wisconsin-Madison and completed his M.S. in Finance at the University of Wisconsin-Milwaukee, where he is a member of the University’s Business School Advisory Board. He has earned the right to use the CFA designation and is a member of the CFA Society Milwaukee.

Michael L. Shelton, CFA, CPA

Senior Research Analyst and Portfolio Manager
Industry experience: 28 years
Nicholas Company Tenure: 18 years
Lead Portfolio Manager - Nicholas Equity Income Fund, Inc.
Co-Portfolio Manager - Nicholas Fund, Inc.

Michael joined Nicholas Company in 2006. He serves as lead portfolio manager of Nicholas Equity Income Fund, co-portfolio manager of Nicholas Fund and is a senior research analyst. Michael has a depth of knowledge following years of covering the healthcare, technology and industrial sectors. Michael has had the opportunity to work alongside Dave and Ab Nicholas analyzing companies for each of the investment strategies. This experience has provided a sound basis for his adoption of the long-held Nicholas investment philosophy and process.

Prior to joining Nicholas Company, Michael worked for the Department of Defense Financing & Accounting Service as a financial analyst. He spent three years with Robert W. Baird as a research analyst and at McDonald Investments for one year focusing on healthcare companies. Before starting his investment career, he worked with Ernst & Young as an auditor and tax consultant earning his CPA designation in 1995.

Michael graduated magna cum laude from Miami University in Oxford, Ohio and obtained his M.B.A. from The Ohio State University. He has earned the right to use the CFA designation and is a member of the CFA Society Milwaukee.

Jeffrey J. Strong, CFA

Senior Research Analyst and Portfolio Manager
Industry experience: 18 years
Nicholas Company Tenure: 3 years
Co-Portfolio Manager - Nicholas Fund, Inc.

Jeff joined Nicholas Company in April 2021 as a senior research analyst. Jeff was named co-portfolio manager of Nicholas Fund, Inc. effective July 2021. Jeff is focused on stocks of all market capitalizations with a particular emphasis on the information technology sector.

Prior to joining Nicholas Company, Jeff was a portfolio manager at the State of Wisconsin Investment Board, managing the Global Technology Portfolio for three years. Before that, Jeff was a research analyst for two years at Heartland Advisors, with primary emphasis on the technology, industrials and consumer sectors. Jeff started his career in investment management at BMO Asset Management, where he was a senior equity analyst for eight years on the BMO Small and Mid Cap Value Funds.

Jeff earned his B.B.A. and M.B.A. from the University of Wisconsin-Madison, where he participated in the Applied Security Analysis Program. He has also earned the right to use the CFA designation and is a member of the CFA Society Milwaukee.

Click to view the entire Nicholas Funds investment team.

2023 Tax Guide

Income Derived from US Government Obligations for 2023

Distribution amounts are per share.

2024 Distribution Dates: Click Here

Distribution Year

Please wait while we gather your results.

Distribution History 2024

Pay Date	Net Investment Income	Short Term Capital Gains	Long Term Capital Gains	Total Distribution
06/06/2024	0.07281894	0.00000000	3.84025000	3.91306894
12/27/2024	TBD	TBD	TBD	3.67000000

= Estimate
TBD = To Be Determined

Distribution Year

2024

Regular Account Forms
IRA Account Forms

2023 Tax Guide

Income Derived from US Government Obligations for 2023

Tax Form Mail Dates

These forms are in PDF format. You'll need Adobe Acrobat Reader to view them. Click here to download it.

2022 Tax Guide

Income Derived from US Government Obligations for 2022

Tax Form Mail Dates

These forms are in PDF format. You'll need Adobe Acrobat Reader to view them. Click here to download it.

Please print, complete and mail to the appropriate address:

Nicholas Family Of Funds
c/o U.S. Bank Global Fund Services
P.O. Box 701
Milwaukee, WI 53201-0701

Overnight Express:

Nicholas Family Of Funds
c/o U.S. Bank Global Fund Services
615 East Michigan Street
Milwaukee, WI 53202

Order By Telephone

1-800-544-6547

Automated transactions are available 24 hours a day, 7 days a week.

To speak to a representative, call Monday - Friday, from 8am - 7pm, Central Time.

Shareholders calling from outside the U.S. may call collect, 414-765-4124, Monday - Friday, from 8am -7pm, Central Time.

Resources

Contact Us

Click Here