The M3 stopped being a "track monster" or a "pure racebred machine" after the production on the E30 M3 stopped. That car was the only one that was designed from the beginning to be a race car and the only reason it was offered to the public was for homologation purposes.
The M3's that have come after have been mainly GT cars rather than pure track cars. It's simply doing what evolution and the market dictates.
Now, we have the 1-series with a rumoured M1 (still don't think they should use this name as it would be just plain ol' wrong) coming in a few short years. This could very well be a true successor to the original M3.
But until that time comes, I'll be blasting past quite a few people in my 135i.