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: Accuray (Nasdaq: ARAY) dropped 13% in intraday trading today after announcing disappointing third-fiscal-quarter earnings.

So what: Q3 non-GAAP earnings per share of $0.02 fell short of the consensus estimate of $0.04. Operating expenses -- sales and marketing, R&D, and general and administrative -- increased more than revenue, primarily because of $2.6 million in expenses related to a planned acquisition. Revenue grew 5% year over year.

Now what: Management noted that the backlog grew 18% year over year and reiterated fiscal 2011 revenue guidance of $210 million to $225 million. That points to revenue growth of 5% to 29% in the current (fourth fiscal) quarter. Management expects that its deal to acquire TomoTherapy will close in June or July and be accretive to fiscal 2012 earnings. It will take a lot of accretion to justify the company's uneven financial performance and its P/E ratio of 99.  

Interested in more info on Accuray? Add it to My Watchlist.

Fool contributor Cindy Johnson owns no shares of any company named above. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.