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By Louis Navellier of InvestorPlace



) -- The market is showing some strength in September, and we're not even into third-quarter earnings season yet! And that means there is a lot to look forward to as we get ready for the next round of quarterly reports. Companies that top expectations tend to pop nicely after their numbers come out -- and if investors are already in a buying mood, all the better!

As a growth guy, I live for the four earnings seasons on Wall Street. They let me know which companies are posting growing sales and earnings and which stocks are falling behind. I never invest in a company that is not growing significantly -- and I don't fret about the latest market hiccup, consumer spending headline or other hang-ups. A company only succeeds by growing the bottom line, not making excuses.

To help you get your share this earnings season, here are five top small cap stocks October.

Valeant Pharmaceuticals

Valeant Pharmaceuticals International


, a company that develops drugs used to fight epilepsy, Parkinson's disease, migraines, acne and even skin cancer, announced outstanding earnings for the second quarter earlier this month. The company posted a profit of $57.1 million, or $0.69 per share, compared with a profit of $43.2 million, or $0.52 per share, in the second quarter of last year. Additionally, the company reported sales of $255.6 million, compared with sales of $191.7 million in the equivalent quarter of 2009. Analysts had been expecting earnings of $0.63 per share on sales of $239.2 million, resulting in a 9.52% earnings surprise and a 6.86% sales surprise. The stock is up nearly 100% so far in 2010 with more room to grow.

Acme Packet

Acme Packet

( APKT) is a tech stock for the future, helping people make calls over the Internet instead of conventional voice lines. The company recently reported second-quarter financial results showing record gains. Total revenue for the quarter was $53.3 million, compared with $32.9 million last year, resulting in a year-over-year increase of 62%. Net income stood at $12.4 million, or $0.18 per share, at the end of the quarter, compared with $4.5 million, or $0.07 per share, in the previous year's second quarter. Analysts had predicted earnings of $0.17 per share, yielding a 5.88% earnings surprise for the company. APKT is up +230% so far in 2010 and is really taking off.



(RDCM) - Get Free Report

posted an excellent financial report for the second quarter. The company said that its quarterly revenue was $4.6 million, an increase of 77% compared with last year's equivalent quarterly revenue of $2.6 million. Net income was $487,000, or $0.09 per share, compared with a loss of $795,000, or $0.16 per share, in 2009. This equated to a remarkable 156% year-over-year increase. The stock is up a jaw-dropping 449% year-to-date, but has rolled back over 20% in the last few weeks. That presents a good buying opportunity.



(NFLX) - Get Free Report

known for delivering DVDs to your home, reported a stunning earnings report as well. The company announced that its second-quarter earnings were $43.5 million, or $0.80 per share, which beat analysts' estimates of $0.70 per share by more than 14%. The small cap company also said that it posted sales of $520 million, which represented a 27% increase compared with last year's figures for the same period. NFLX is up over 180% year-to-date, and I think the stock has more room to run.




has reversed its fortunes of previous quarters with the announcement early in August that it returned to profitability. The Internet company, which publishes information on health and wellness, posted earnings of $7.7 million, or $0.13 per share, much improved from last year's loss of $11.7 million, or $0.25 per share, in the equivalent quarter. Analysts had predicted earnings of $0.12, resulting in an 8.33% earnings surprise! Shares are up about +37% year-to-date and could pop again after Q3 earnings.

At the time of publication, Navellier had no holdings of stocks mentioned.

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One of Wall Street's renowned growth investors, Louis Navellier is the editor of four investing newsletters: Emerging Growth (formerly known as MPT Review), Blue Chip Growth, Quantum Growth and Global Growth. His longest-running publication, Emerging Growth, has a track record of beating the market nearly 3 to 1. Navellier is the author of a BusinessWeek bestseller, "The Little Book That Makes You Rich," and the chairman and founder of Navellier & Associates, Inc.