Using one stock is really nonsensical. Yes, there are outliers, like a stock which hit a high in a bubble, but that one stock isn't the market either. To state "it isn't always the case" while ignoring the entire population of stocks is mind boggling. I tell you what, you invest in stocks that earnings are decreasing and I will invest in stocks where earnings are increasing, and let's compare returns over the next 1, 3, 5 or 10 years. The fact that I know you aren't crazy enough to invest only in stocks with decreasing earnings should tell you how flawed your analysis is.
Using one stock is really nonsensical. Yes, there are outliers, like a stock which hit a high in a bubble, but that one stock isn't the market either. To state "it isn't always the case" while ignoring the entire population of stocks is mind boggling. I tell you what, you invest in stocks that earnings are decreasing and I will invest in stocks where earnings are increasing, and let's compare returns over the next 1, 3, 5 or 10 years. The fact that I know you aren't crazy enough to invest only in stocks with decreasing earnings should tell you how flawed your analysis is.