3 Stocks That Blew the Market Away

Updated

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 The Fresh Market (NAS: TFM) .

The upscale grocery store operator saw its net income soar 27% to $0.28 a share. Wall Street was waiting at the checkout counter perched on $0.27 a share in profitability.

The Fresh Market had no problem attracting shoppers. Net sales popped 21% higher, fueled by healthy expansion and a robust 8% spike in comps. Investors shouldn't be surprised to see that consumers are willing to spend more on superior groceries. Organic foodstuffs champion Whole Foods Market (NAS: WFM) also served up better than expected earnings on strong same-store sales this summer.

Ship Finance (NYS: SFL) is also sailing past the pros. The shipper with a fleet of roughly 70 vessels reported a quarterly profit of $0.77 a share, a little more than double what Wall Street was projecting.

Ship Finance is attractive to income investors given its juicy 9.7% yield. Strong bottom-line growth is the easiest way to keep those distributions flowing.

Finally, we have TiVo (NAS: TIVO) recording better than expected results. The DVR pioneer may have posted a quarterly deficit of $0.23 a share, but that was just ahead of the $0.24 loss that Wall Street was forecasting.

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 Whole Foods Market.Motley Fool newsletter serviceshave recommended buying shares of The Fresh Market and Whole Foods Market. 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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