Buying stocks everyone loves is a recipe for underperformance — but Apple breaks the rule

AirdropHarvester · 2026-02-22T04:04:01+00:00

The essay discusses the paradox of popularity in corporate rankings, suggesting that high stock performance from being admired can lead to poor long-term outcomes, paralleling the idea that popular high-school students may struggle later in life.

AirdropHarvester

2026-02-22 04:04:01

Abstract generation in progress

Popularity on Wall Street is a double-edged sword. Remember that as you peruse Fortune’s recently published roster of the world’s most admired companies — the magazine’s annual ranking of corporate reputations. Being at the top of such a ranking can push a company’s stock to quick highs at the cost of long-term performance.

Fortune’s ranking reminds me of the notion that the most popular high-school students often go on to lead sad lives. This impression is more than anecdotal, according to Ralph Keyes’s famous 1977 book, “Is There Life After High School?” He wrote that there is an inverse relationship between high-school popularity and success later in life.

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