Why 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 puzzled looks on their faces can be a good thing. It usually means that the companies have more in the tank than analysts figured. Capital appreciation often follows.
Let's take a look at a few companies that humbled the prognosticators over the past few trading days.
We can start with Red Hat
Red Hat's success was the result of a 21% surge in its bread-and-butter subscription revenue.
Micron Technology
Finally, we have ConAgra
ConAgra gained ground on the bottom line despite a 2% slide in net sales. Recession-weary consumers are turning to cheaper store brands in this price-conscious climate. The trend has benefitted TreeHouse Foods
So, keep watching the companies that surpass 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 Motley Fool 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.