Seems to me this is a matter of opinion, where the Subaru management team is taking the auto company and what the results over time show. I like the idea of 250 hp in a Legacy!
I drive a 99 Legacy GT wagon. My third subaru. I delt with the head gasket problem. To solve that problem I started with a new short block, replaced the heads and clutch and put it back together. So far I am pleased with the results. Thanks to Joe's Subaru Repair. The man has the patience and skill to do it right.
If I total the original cost of the used purchase, replaced engine, Borla headers, complete Stromung exhaust, BFGoodrich Traction TA's and KYBGR2 struts I am still way below the cost of a new GT. For that money I think the car is better than a lot of more expensive cars on the road.
I would not have spent all that money if I did not like the car alot. I like the dependability the way it handles, sounds, looks and runs. I venture to bet that I can hustle it down a twisty road quicker than maybe 80% of the drivers on the road reguardless of what they are driving. If there is snow on the road that number probably goes to 95%.
In the end its value for the dollar personal preferance and long term reliability that answers the question of whether Subaru has peaked.
Just my opinion,
Mike