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 pros over the past few trading days.
We can start with ZAGG (Nasdaq: ZAGG ) .
The company behind the invisibleSHIELD protective film covers and other accessories for tablets and smartphones saw its quarterly profit more than double to $0.27 a share. Analysts were settling for net income of $0.20 a share. With nearly a third of its shares sold short, trouncing expectations is one way to temporarily silence the skeptics.
The sky's the limit for priceline.com (Nasdaq: PCLN ) . The fast-growing travel website operator grew its adjusted earnings 58% to $5.37 a share in its latest quarter. Wall Street was banking on a profit of $5.05 a share. Analysts at Benchmark, RBC, and Stifel all bumped their prices targets higher -- to $692, $725, and $750 respectively -- after the strong report.
Finally we have Human Genome Sciences (Nasdaq: HGSI ) on the move. The biotech behind lupus treatment breakthrough Benlysta checked in with a quarterly deficit of $0.41 a share. Red ink isn't applause-worthy, but analysts figured that Human Genome Sciences would post a loss of $0.43 a share.
Moving in the right direction
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. If that's not up your alley just yet, you can still check out a free special report detailing the next trillion dollar revolution.
Either way, come back next week to learn about more stocks that blew the market away in the coming days.