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 Cabot Oil & Gas (NYSE: COG) have gained as much as 12.9% in early trading on tremendous volume, and they seem intent to keep climbing.

So what: The catalyst is a fourth-quarter earnings report with slightly disappointing earnings but acceptable sales. The good news propelling the stock consists of increased production guidance and a confidence-boosting update on operations.

Now what: Cabot delivered admirable performance despite low unit prices and gave optimistic guidance even though management expects the soft pricing environment to stick around. That might be too conservative a view in the light of recent events. Could this be the start of a turnaround for the embattled oil and gas producer?

Interested in more info on Cabot Oil & Gas? Add it to your watchlist.

Fool contributor Anders Bylund holds no position in any of the companies discussed here. 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 is investors writing for investors.