3 Stocks That Blew the Market Away

Don't settle for ordinary quarterly reports.

I take a look at three companies that beat market expectations every week, since I believe that it's the biggest factor in a stock beating the market. Leaving Wall Street's pros with stunned expressions can be a good thing. It usually means that the companies have more in the tank than analysts figured. Capital appreciation typically follows.

Let's take a look at a few companies that humbled the prognosticators over the past few trading days.

We can start with Zipcar (NYSE: ZIP  ) .

The popular car-sharing service posted a loss of $0.17 a share in its first quarter as a public company, less than the $0.23 a share deficit that analysts were targeting. It was a good week for companies lending out cars, as auto rental giants Hertz (NYSE: HTZ  ) and Avis Budget (Nasdaq: CAR  ) also accelerated past Wall Street estimates.

LinkedIn (NYSE: LNKD  ) is another recent IPO that sparkled on the earnings stage. The social networking website for professionals earned $0.04 a share in its latest quarter. The pros figured that LinkedIn would check in with a modest loss. The other two pure plays in social networking -- China's Renren (NYSE: RENN  ) and Latin America's Quepasa (AMEX: QPSA  ) -- will report their latest financials on Thursday.

Then there's Sirius XM Radio (Nasdaq: SIRI  ) . The satellite radio giant posted a profit of $0.03 a share. A good chunk of that profit came from a one-time gain related to its acquisition of its Canadian operations, but Sirius XM still would have squeaked ahead of the $0.01 a share that the market was forecasting.

It's important to keep watching the companies that surpass expectations. Over time, it will be a lucrative experience for investors as the market rewards the overachievers. That's the kind of surprise that we look for in the Rule Breakers newsletter service. Want in? Check out a 30-day trial subscription.

Either way, come back next Monday to learn about more stocks that blew the market away.