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 Harbin Electric (Nasdaq: HRBN) fell 11% today when news came out that its auditor had invalidated financial statements for another company the auditor works for, RINO International (Nasdaq: RINO).

So what: Earlier this week, RINO delayed its conference call and trading in its shares was halted Wednesday amid accusations of fraud. Harbin uses Frost, the same audit firm as RINO, so investors are concerned Harbin's statements will also come into question.

Now what: If there's one thing that should make investors run for the doors it's faulty financial statements. There isn't any evidence yet that Harbin will have to restate earnings, or that there is any wrongdoing, but a shaky auditor doesn't leave me with a good feeling. I'm running from these shares today just based on the chance Harbin could meet the same fate as RINO.

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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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