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 Abaxis (NASDAQ:ABAX) plunged 11% today after the blood analysis systems company posted disappointing quarterly results.

So what: Abaxis got axed in July on signs of slowing growth, and today's Q2 results -- earnings declined 72% to $5.7 million on a revenue increase of just 4% -- only reinforce that worrisome trend. In fact, gross margin for the quarter fell 450 basis points to 47.7%, suggesting that its competitive position is weakening rather quickly.

Now what: While Abaxis hasn't given up on year-over-year growth in 2013, management admits that it likely won't happen.

"[A]ll the work that's being done with retail and with clinical research and with the opportunity we have in Canada and the stuff that's going on in Europe, I mean clearly those are huge upsides that are probably not going to happen this fiscal year," Chairman and CEO Clinton Severson said in a conference call. "Now some of it is going to happen this fiscal year but not the really big numbers."

With the stock now off 35% from its 52-week highs, now might be an opportune time to bet on a turnaround in 2014. 

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. 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.