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 thermal-products maker Thermon Group (NYSE:THR) fell as much as 12%, after a disappointing earnings report.

So what: Revenue growth was flat for the quarter, at $67.4 million, though it would have increased by 4% without negative currency translation. EPS, meanwhile, improved from $0.19 cents to $0.26 cents, but was a penny short of estimates. Thermon's backlog also increased 29%, to $113 million, and gross margins improved.

Now what: The market's reaction to the report seems overdone, and may simply be a valuation-based pullback, as Thermon shares had appreciated almost 75% before today's fall. Even after today's drop, the stock still sports a pricy P/E at 30. With that kind of valuation, the company is going need to find a way to grow revenues by more than 4%.The backlog increase could indicate that better times are on the way.

Don't miss the next Thermon Group update.

Jeremy Bowman has no positions in the stocks mentioned above. The Motley Fool has no positions in the stocks mentioned above. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.