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Contrarian investing is a a style of investment that is associated with buying shares that an investor believes are under-valued with a view to selling when (and if) they improve in future.

Essentially, contrarian investing is associated with going against the popular view of the market. So while investors and analysts may be very skeptical about a share, a contrarian investor may disagree and believe that the skepticism is over-done.

A common characteristic of a contrarian investor is one who looks to identified out-of-favour or undervalued shares using techniques such as the P/E ratio.