> Shareholders don’t act rationally, but the market eventually does.
Citation needed. I hate to bring up 2008 again, but the market first acted irrationally by over-investing in garbage CDOs and then "corrected" in a way that would have tanked the economy without massive public intervention. If that's rational behavior than perhaps we should nominate the next person drunkenly weaving between two lanes for Driver of the Year.
"Rational" does not mean "maximizing profit". Sometimes rational mean throwing a failed experiment in the trash, after a past irrational or poor decision.
Shareholders don’t act rationally, but the market eventually does.