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 jewelry retailer Blue Nile (Nasdaq: NILE) fell 10% today after the company released earnings.

So what: The company posted earnings of $0.41 per share, below the $0.43 analysts expected, on revenue of $114.8 million. Guidance of $0.15 in earnings for the first quarter didn't help the cause, coming in below expectations of $0.20.

Now what: Citigroup piled on the results by downgrading the stock from buy to hold, so nothing seems to be going right for Blue Nile today. Management tried to spin the results positively, pointing to a strong holiday season and growth opportunities going forward. Considering the already high 50 forward price/earnings ratio for 2011 and these weak results last quarter, I am going to have to shop elsewhere for my jewels for now.

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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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