With Double Click To Isolate on, the Selection tool isolated groups only. A
double-click on a single path, compound path, image, mesh or placed file now
isolates it too, as the public documentation describes. Type still switches to
the Type tool; blends, envelopes, repeats and symbol instances keep their own
editing modes.
While a single object is isolated only it is hit, marqueed and taken by Select
All, new art goes beside it in its group or layer, and a double-click on the
empty canvas leaves with it selected. object.isolate accepts any object except
type.