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: China Nepstar (NYSE: NPD) shares jumped 12% today as the company recovers from a pummeling in the last week.

So what: Since earnings were announced, China Nepstar's stock is down 22%, including today's jump, and investors have had enough. Investors who sold short after earnings are getting squeezed, and bargain hunters are entering the market just in time for Black Friday.

Now what: Investors are looking at the $171 million in cash and seeing value in China Nepstar shares. But beware the bounce because the latest earnings report left a lot to be desired. I'll stay away today and let the stock settle out before looking at this value/dividend play again.

Interested in more info on China Nepstar? Add it to your watchlist.

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 Motley Fool CAPS picks at TMFFlushDraw.

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