The "random walk" theory states that since the stocks market is "efficient" there...

[Andrew A]

...is no way to outperform.... the market over the long term. Is that true and if not why?

[nicknameyo]

I don't think the markets are perfectly efficient until everyone is perfectly (or at least identically) informed. Your average Joe doesn't have as good an understanding of the movements of the stock markets as say, a financial analyst. Therefore, some will perform better than the market average and some will fall short.

[popowich]

Of course it is possible to outperform the market.

Check out some of the greats such as Warren Buffett (http://en.wikipedia.org/wiki/Warren_Buffett)

-Raymond