3 Stocks That Blew the Market Away

Leaving Wall Street's pros with quizzical looks on their faces can be a good thing. It usually means that some companies have more in the tank than the analysts thought, and capital appreciation often follows.

Every week I take a look at a few companies that lapped their profit targets and humbled the prognosticators over the past few trading days.

We can start with Priceline.com (Nasdaq: PCLN). The "Name Your Own Price" travel website saw its pro forma profitability soar 66% higher to $0.96 a share. Analysts were looking for the adjusted earnings to hit the Tarmac at just $0.84 a share.

Priceline is rolling. International bookings growth is accelerating. It's standing out domestically by not charging airline booking fees. It wrapped up 2007 by beating expectations every single quarter.

Baidu.com (Nasdaq: BIDU) is another topper. China's leading search engine posted a 79% surge in its fourth-quarter net income. The Web star's $0.87 a share showing was well ahead of the $0.71 a share. Even if half of the $0.16 a share difference is the result of a favorable reinvestment incentive tax refund, the Rule Breakers recommended stock held up great during the same quarter in which stateside rival Google (Nasdaq: GOOG) pulled up lame.

Finally we have Hasbro (NYSE: HAS) toying with the pros. The playthings giant earned $0.84 a share, well ahead of Wall Street's $0.81 a share target. The company is getting good mileage out of its Star Wars and Marvel (NYSE: MVL) licensed toys, but it's the global popularity of its diversified toy lines that brought home the play-con this time.

So, keep watching the companies that lap expectations. Over time, it will be a rewarding experience for investors as the market rewards the overachievers. That's the kind of surprise 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.