>if you know a company well and you know they are doing great and will be doing great in the next year you should buy their stock This is a truthy-sounding and

>if you know a company well and you know they are doing great and will be doing great in the next year you should buy their stock This is a truthy-sounding and extremely common belief about the stock market, but false. Buying stock is not a bet that the company will do well, it's a bet that the company will do better than other market participants currently think it will.