Every week, I spotlight a few companies that lapped their profit targets. Leaving Wall Street's pros with quizzical looks on their faces can be a good thing. It usually means that the companies have more in the tank than analysts figured, and 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 Take-Two Interactive
Pair up the better-than-expected quarter with healthy pre-orders for next month's Grand Theft Auto IV, and Take-Two is naturally raising its guidance for the year. That will no doubt come as frustrating news to Electronic Arts
Sure, it was far worse than the $0.07-a-share loss it posted a year earlier. Some would argue that the real estate broker with an online bent is a relative winner. Its agents closed on more homes during the quarter, but an 8% dip on the top line resulted from those homes selling at lower prices than they did a year ago.
Finally, we have J. Crew
J. Crew had yet another solid period, posting a 4% gain in comps. But it isn't alone in retail. Other chains like Men's Wearhouse
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 for free.
Either way, come back next Monday to learn about more stocks that blew the market away.
Longtime Fool contributor Rick Munarriz is a fan of toppers. He does not own shares in any of the companies in this story. He is part of the Rule Breakers newsletter research team, seeking out tomorrow's ultimate growth stocks a day early. The Fool has a disclosure policy.