Standard micro-economics theory suggests that profitability is mean-reverting in a
competitive market, and prior studies provide empirical evidence consistent with this notion (see,
e.g., Fama and French, 2000; Elgers and Lo, 1994; Lev 1983). In reality, however, some firms
are able to report earnings growth for a prolonged period; these firms have been the subject in
multiple streams of academic research