|UNITED STATES                                                 
|--------------------------------------------------------------
|SECURITIES AND EXCHANGE COMMISSION                            
|Washington, D.C. 20549                                        
|                                                              
|FORM N-Q                                                      
|                                                              
|QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED        
|MANAGEMENT INVESTMENT COMPANY                                 
|                                                              
|Investment Company Act file number:811-01728                  
|                                                              
|Nicholas Fund, Inc.                                           
|(Exact Name of Registrant as Specified in Charter)            
|                                                              
|700 North Water Street, Milwaukee, Wisconsin 53202            
|(Address of Principal Executive Offices)                      
|                                                              
|Jeffrey T. May, Senior Vice President, Secretary and Treasurer
|700 North Water Street                                        
|Milwaukee, Wisconsin 53202                                    
|(Name and Address of Agent for Service)                       

Registrant's Telephone Number, Including Area Code:414-272-4650



|Date of Fiscal Year End:03/31/2008Date of Reporting Period:12/31/2007
|---------------------------------------------------------------------



|Item 1. Schedule of Investments.
|--------------------------------

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|                       |  | Nicholas Fund, Inc.                           |  |               
|---------------------- |  | --------------------------------------------- |  | --------------
|                       |  | Schedule of Investments (unaudited)           |  |               
|                       |  | December 31, 2007                             |  |               
|                      
|                       |  |                                               |  | VALUE         
|                       |  |                                               |  | --------------
|COMMON STOCKS - 94.12% |  |                                              
|                       |  | Consumer Discretionary - Consumer Durables &  |  |               
|                       |  | Apparel - 3.51%                               |  |               
|650,000                |  | Fortune Brands, Inc.                          |  | $ 47,034,000  
|1,209,900              |  | Helen of Troy Limited *                       |  | 20,737,686    
|                       |  |                                               |  | --------------
|                       |  |                                               |  | 67,771,686    
|                       |  |                                               |  | --------------
|                       |  | Consumer Discretionary - Hotels, Restaurants  |  |               
|                       |  | & Leisure - 4.80%                             |  |               
|1,254,037              |  | California Pizza Kitchen, Inc. *              |  | 19,525,356    
|1,100,000              |  | Six Flags, Inc. *                             |  | 2,233,000     
|1,850,000              |  | Yum! Brands, Inc.                             |  | 70,799,500    
|                       |  |                                               |  | --------------
|                       |  |                                               |  | 92,557,856    
|                       |  |                                               |  | --------------
|                       |  | Consumer Discretionary - Retail - 7.08%       |  |               
|450,000                |  | Best Buy Co., Inc.                            |  | 23,692,500    
|700,000                |  | Kohl's Corporation *                          |  | 32,060,000    
|2,050,000              |  | O'Reilly Automotive, Inc. *                   |  | 66,481,500    
|380,000                |  | Penske Automotive Group, Inc.                 |  | 6,634,800     
|864,100                |  | Sally Beauty Company, Inc. *                  |  | 7,820,105     
|                       |  |                                               |  | --------------
|                       |  |                                               |  | 136,688,905   
|                       |  |                                               |  | --------------
|                       |  | Consumer Staples - Food & Staple              |  |               
|                       |  | Retail - 2.86%                                |  |               
|1,450,000              |  | Walgreen Co.                                  |  | 55,216,000    
|                       |  |                                               |  | --------------
|                       |  | Consumer Staples - Food, Beverage &           |  |               
|                       |  | Tobacco - 2.89%                               |  |               
|2,354,800              |  | Constellation Brands, Inc. - Class A *        |  | 55,667,472    
|                       |  |                                               |  | --------------
|                      
|                       |  | Energy - 8.83%                                |  |               
|400,000                |  | Apache Corporation                            |  | 43,016,000    
|531,300                |  | Inergy, L.P.                                  |  | 16,523,430    
|230,000                |  | Kayne Anderson Energy Development Company     |  | 5,269,300     
|700,000                |  | Kayne Anderson Energy Total Return Fund, Inc. |  | 19,355,000    
|700,000                |  | Kayne Anderson MLP Investment Company         |  | 20,538,000    
|1,242,214              |  | Kinder Morgan Management, LLC *               |  | 65,762,821    
|                       |  |                                               |  | --------------
|                       |  |                                               |  | 170,464,551   
|                       |  |                                               |  | --------------
|                       |  | Financials - Banks - 5.57%                    |  |               
|1,223,475              |  | Bank Mutual Corporation                       |  | 12,932,131    
|2,054,126              |  | Marshall & Ilsley Corporation                 |  | 54,393,256    
|1,792,975              |  | MGIC Investment Corporation                   |  | 40,216,429    
|                       |  |                                               |  | --------------
|                       |  |                                               |  | 107,541,816   
|                       |  |                                               |  | --------------
|                       |  | Financials - Diversified - 9.74%              |  |               
|900,000                |  | Affiliated Managers Group, Inc. *             |  | 105,714,000   
|800,000                |  | American Express Company                      |  | 41,616,000    
|50,000                 |  | Leucadia National Corporation                 |  | 2,355,000     
|1,070,000              |  | Moody's Corporation                           |  | 38,199,000    
|                       |  |                                               |  | --------------
|                       |  |                                               |  | 187,884,000   
|                       |  |                                               |  | --------------
|                       |  | Financials - Insurance - 13.47%               |  |               
|1,035                  |  | Berkshire Hathaway Inc. - Class A *           |  | 146,556,000   
|500,000                |  | Loews Corporation                             |  | 25,170,000    
|298,536                |  | Mercury General Corporation                   |  | 14,870,078    
|330,000                |  | Philadelphia Consolidated Holding Corp. *     |  | 12,985,500    
|2,024,312              |  | W.R. Berkley Corporation                      |  | 60,344,741    
|                       |  |                                               |  | --------------
|                       |  |                                               |  | 259,926,319   
|                       |  |                                               |  | --------------
|                       |  | Health Care - Equipment - 1.17%               |  |               
|507,500                |  | Covidien Ltd.                                 |  | 22,477,175    
|                       |  |                                               |  | --------------
|                      
|                       |  | Health Care - Pharmaceuticals &               |  |               
|                       |  | Biotechnology - 4.60%                         |  |               
|450,000                |  | Gilead Sciences, Inc. *                       |  | 20,704,500    
|1,180,688              |  | Thermo Fisher Scientific Inc. *               |  | 68,102,084    
|                       |  |                                               |  | --------------
|                       |  |                                               |  | 88,806,584    
|                       |  |                                               |  | --------------
|                       |  | Health Care - Services - 6.21%                |  |               
|1,001,087              |  | Cardinal Health, Inc.                         |  | 57,812,774    
|1,100,000              |  | DaVita, Inc. *                                |  | 61,985,000    
|                       |  |                                               |  | --------------
|                       |  |                                               |  | 119,797,774   
|                       |  |                                               |  | --------------
|                       |  | Industrials - Capital Goods - 7.21%           |  |               
|600,000                |  | General Dynamics Corporation                  |  | 53,394,000    
|1,210,600              |  | Oshkosh Truck Corporation                     |  | 57,212,956    

---

|325,000                                  |  | W.W. Grainger, Inc.                            |  | 28,444,000   
|---------------------------------------- |  | ---------------------------------------------- |  | -------------
|                                         |  |                                                |  |              
|                                         |  |                                                |  |              
|                                         |  |                                                |  |              
|                                         |  | Industrials - Commerical Services &            |  |              
|                                         |  | Supplies - 3.19%                               |  |              
|1,150,000                                |  | Brady Corporation                              |  | 40,353,500   
|500,000                                  |  | Copart, Inc. *                                 |  |              
|                                         |  |                                                |  |              
|                                         |  |                                                |  |              
|                                         |  |                                                |  |              
|                                         |  | Industrials - Transportation - 0.87%           |  |              
|700,000                                  |  | Heartland Express, Inc.                        |  | 9,926,000    
|250,000                                  |  | J.B. Hunt Transport Services, Inc.             |  | 6,887,500    
|                                         |  |                                                |  |              
|                                         |  |                                                |  |              
|                                         |  |                                                |  |              
|                                         |  | Information Technology - Hardware &            |  |              
|                                         |  | Equipment - 3.16%                              |  |              
|1,750,000                                |  | Dell Inc. *                                    |  |              
|487,500                                  |  | Tyco Electronics Ltd.                          |  | 18,100,875   
|                                         |  |                                                |  |              
|                                         |  |                                                |  |              
|                                         |  |                                                |  |              
|                                         |  | Information Technology - Software &            |  |              
|                                         |  | Services - 4.15%                               |  |              
|500,000                                  |  | Fiserv, Inc. *                                 |  |              
|950,000                                  |  | Hewitt Associates, Inc. *                      |  | 36,375,500   
|684,708                                  |  | Metavante Technologies, Inc. *                 |  | 15,967,391   
|                                         |  |                                                |  |              
|                                         |  |                                                |  |              
|                                         |  |                                                |  |              
|                                         |  | Materials - 4.43%                              |  |              
|1,000,000                                |  | Bemis Company, Inc.                            |  | 27,380,000   
|1,381,901                                |  | CEMEX, S.A.B. de C.V.                          |  | 35,722,141   
|687,500                                  |  | Stepan Company                                 |  |              
|                                         |  |                                                |  |              
|                                         |  |                                                |  |              
|                                         |  |                                                |  |              
|                                         |  | Telecommunication Services - 0.38%             |  |              
|2,400,000                                |  | Level 3 Communications, Inc. *                 |  | 7,296,000    
|                                         |  |                                                |  |              
|TOTAL Common Stocks                      |  | (COST: $ 1,143,985,966)                        |  | 1,816,136,876
|                                         |  |                                                |  |              
|                                        
|                                        
|SHORT-TERM INVESTMENTS - 5.73%           |  |                                               
|                                         |  | Commercial Paper - 5.49%                       |  |              
|$5,850,000                               |  | General Mills, Inc. 01/02/08, 5.45%            |  | 5,850,000    
|8,000,000                                |  | Starbucks Corporation 01/03/08, 5.05%          |  | 7,998,878    
|5,275,000                                |  | Time Warner Inc. 01/04/08, 5.47%               |  | 5,273,397    
|5,000,000                                |  | CVS Corporation 01/07/08, 5.15%                |  | 4,996,424    
|300,000                                  |  | Time Warner Inc. 01/08/08, 5.48%               |  | 299,726      
|5,600,000                                |  | Travelers Companies Inc. (The) 01/08/08, 5.05% |  | 5,595,287    
|2,000,000                                |  | Wisconsin Energy Corporation 01/08/08, 5.60%   |  | 1,998,133    
|1,625,000                                |  | Avery Dennison Corporation 01/09/08, 5.60%     |  | 1,623,231    
|5,400,000                                |  | Starbucks Corporation 01/09/08, 5.40%          |  | 5,394,330    
|5,000,000                                |  | Wisconsin Energy Corporation 01/09/08, 5.35%   |  | 4,994,799    
|8,450,000                                |  | Chevron Phillips Chemical Company              |  |              
|                                         |  | 01/14/2008, 5.15%                              |  | 8,435,494    
|300,000                                  |  | Alcoa Inc. 1/15/08, 5.40%                      |  | 299,415      
|5,000,000                                |  | Chevron Phillips Chemical Company              |  |              
|                                         |  | 01/16/2008, 5.10%                              |  | 4,990,083    
|6,000,000                                |  | Alcoa Inc. 1/17/08, 5.45%                      |  | 5,986,375    
|5,000,000                                |  | H.J. Heinz Finance Company 01/18/08, 5.25%     |  | 4,988,333    
|5,000,000                                |  | CVS Corporation 01/23/08, 4.80%                |  | 4,986,000    
|5,000,000                                |  | CVS Corporation 01/23/08, 4.80%                |  | 4,986,000    
|5,775,000                                |  | General Mills, Inc. 01/24/08, 5.45%            |  | 5,755,766    
|3,300,000                                |  | H.J. Heinz Finance Company 01/24/08, 4.50%     |  | 3,290,925    
|5,625,000                                |  | Dow Chemical Company 01/25/08, 5.08%           |  | 5,606,744    
|3,675,000                                |  | Barclays U.S. Funding LLC 1/29/08, 4.74%       |  | 3,661,936    
|350,000                                  |  | Home Depot Inc. (The) 01/30/08, 4.97%          |  | 348,647      
|2,675,000                                |  | H.J. Heinz Finance Company 02/01/08, 5.40%     |  | 2,662,962    
|6,100,000                                |  | CVS Corporation 03/05/08, 4.90%                |  | 6,047,693    
|                                         |  |                                                |  |              
|                                         |  |                                                |  |              
|                                         |  |                                                |  |              
|                                         |  | Variable Rate Security - 0.24%                 |  |              
|4,597,655                                |  | Wisconsin Corporate Central Credit Union       |  |              
|                                         |  | 01/02/08, 4.53%                                |  | 4,597,655    
|                                         |  |                                                |  |              
|                                        
|TOTAL Short-term Investments             |  | (COST: $ 110,668,233)                          |  | 110,668,233  
|                                         |  |                                                |  |              
|                                        
|                                        
|TOTAL SECURITY HOLDINGS -                |  | 99.85%                                         |  | 1,926,805,109
|                                         |  |                                                |  |              
|                                        
|OTHER ASSETS, NET OF LIABILITIES - 0.15% |  | 2,827,392                                     
|                                         |  |                                                |  |              
|TOTAL NET ASSETS                         |  |                                                |  |              
|                                         |  |                                                |  |              
|                                         |  |                                                |  |              

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|% OF NET ASSETS* NON-INCOME PRODUCING
|-------------------------------------

As of December 31, 2007, investment cost for federal tax purposes was $1,255,502,285 and the tax basis components of unrealized appreciation/depreciation were as follows:

|Unrealized appreciation     |  | $734,701,030
|--------------------------- |  | ------------
|Unrealized depreciation     |  | (63,398,206)
|                            |  | ------------
|Net unrealized appreciation |  | $671,302,824
|                            |  | ------------
|                            |  | ------------

For information on the Fund's policies regarding the valuation of investments and other significant accounting policies, please refer to the Fund's most recent Semiannual or Annual Report to Shareholders.

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Item 2. Controls and Procedures.

(a) The Fund's principal executive officer and principal financial officer have concluded that the Fund's disclosure controls and procedures are sufficient to ensure that information required to be disclosed by the Fund in
this Form N-Q was recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission's rules and forms, based upon such officers' evaluation of these controls and procedures as of a date within
90 days of the filing date of the report.

(b) There were no significant changes or corrective actions with regard to significant deficiencies or material weaknesses in the Fund's internal controls or in other factors that could significantly affect the Fund's
internal controls during the last fiscal quarter.

Item 3. Exhibits.

Certifications of Principal Executive Officer and Principal Financial Officer pursuant to Rule 30a-2(a) under the Act, attached hereto as part of EX-99.CERT.



|SIGNATURES
|----------

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.



|(Registrant)Nicholas Fund, Inc.By:/s/ Albert O. NicholasName: Albert O. NicholasTitle: Principal Executive OfficerDate:02/27/2008
|---------------------------------------------------------------------------------------------------------------------------------

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed by the following persons on behalf of the registrant and
in the capacities and on the dates indicated.



|By:/s/ Albert O. NicholasName: Albert O. NicholasTitle: Principal Executive OfficerDate:02/27/2008By:/s/ Jeffrey T. MayName: Jeffrey T. MayTitle: Principal Financial OfficerDate:02/27/2008
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

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