Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of IT infrastructure company SolarWinds (Nasdaq: SWI) jumped 20% in trading today after the company released earnings.

So what: Revenue grew 40% to $64.0 million, ahead of analysts' estimates of $60.1 million. Earnings per share topped estimates by $0.06 to $0.33 per share. The company also issued revenue and earnings guidance for the third quarter that was in line with analysts' expectations.

Now what: SolarWinds has now topped expectations in the last five quarters, something investors should look for in a good investment. But I still think shares are priced to perfection, providing too much downside for investors right now. At the current share price, shares trade at 41 times 2012 earnings estimates, and while the company could grow into that valuation, it's too risky for my taste. I'll leave today's jump alone and wait for a significant pullback and more value.

Interested in more info on SolarWinds? Add it to your watchlist by clicking here.