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: STR Holdings (NYSE: STRI) shares fell as much as 20% after the company released earnings today.

So what: Adjusted earnings came in at $0.39 per share above the estimate of $0.37, but it wasn't enough for investors. STR expects margins to fall over time, and investors think this could be the tipping point.

Now what: As solar manufacturers like JA Solar (Nasdaq: JASO) and Solarfun (Nasdaq: SOLF) see margin pressures due to falling subsidies, they will place pressure on suppliers to lower costs. This leaves STR in a tough spot going forward even though the solar industry is growing quickly. I'm going to sit out this drop and look elsewhere for value in the solar market today.

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

Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.

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