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 Resources Connection (NAS: RECN) .
The professional-services firm was supposed to earn $0.15 a share, just ahead of the $0.12 a share it rang up a year earlier. Revenue was flat -- largely on a double-digit decline overseas -- but margins are apparently beefing up when it comes to offering business services and consulting. Resources Connection scored a quarterly profit of $0.21 a share.
Wolverine World Wide (NYS: WWW) is making tracks in the right direction. The footwear maker managed to earn $0.48 a share in its latest quarter, easily besting the pros perched at profit projections of $0.44 a share.
Finally, we have JPMorgan Chase (NYS: JPM) blasting through forecasts.
Earnings season kicked off for the banking sector on Friday with JPMorgan Chase, Webster Financial (NYS: WBS) , and Wells Fargo (NYS: WFC) all reporting their latest financials. Webster merely met expectations, and Wells Fargo only landed $0.01 a share ahead of Mr. Market's target. However, JPMorgan managed to crank out net income of $1.09 a share, 56% ahead of the $0.70 a share that investors were expecting from the company.
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.
The article 3 Stocks That Blew the Market Away originally appeared on Fool.com.
Longtime Fool contributor Rick Munarriz calls them as he sees them. He does not own shares in any of the stocks in this story. Rick is also part of theRule Breakersnewsletter research team, seeking out tomorrow's ultimate growth stocks a day early.The Motley Fool owns shares of JPMorgan Chase.Motley Fool newsletter serviceshave recommended buying shares of Wells Fargo. The Motley Fool has adisclosure policy. We Fools may not all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. Try any of our Foolish newsletter servicesfree for 30 days.
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