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 industrial parts maker Altra Holdings (Nasdaq: AIMC) had a major malfunction this morning, falling as much as 10.3% before recovering to much smaller losses.

So what: Altra's fourth-quarter report beat earnings and revenue estimates, but the company also announced an agreement to acquire German rival Danfoss Bauer's gearmotor division -- and $75 million of new convertible debt to finance the deal. That's a lot of news to digest at once, and it took Mr. Market a while to sort it all out.

Now what: The Bauer deal is expected to add to Altra's earnings right from the start and the division produced a healthy $104 million in sales last year. In the highly fragmented parts industry, this cements Altra's position as a revenue leader ahead of Kaydon (NYSE: KDN) and Powell Industries (Nasdaq: POWL), though the company still has a long way to go before catching sector giant Regal Beloit (NYSE: RBC). Altra is growing by hook or by crook while also expanding its profit margins -- a winning combination indeed. In short, the recovery makes more sense than the initial panic today.

Interested in more info on Altra Holdings? 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.