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 Xyratex
The data storage specialist earned $0.42 a share in its fiscal third quarter, blowing out the pros that were targeting a profit of merely $0.17 a share. Xyratex's guidance is cautious given the tenuous nature of the enterprise market, but at least it showed Mr. Market who's boss this time around.
Paychex
Paychex is obviously a great pulse check of corporate America, so the beat is a good thing for more than just Paychex investors.
Finally, we have Jabil Circuit
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.
If you want to track these stocks to see if they come out ahead next quarter, add them to My Watchlist:
- Add Xyratex to My Watchlist.
- Add Paychex to My Watchlist.
- Add Jabil Circuit to My Watchlist.