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 Arctic Cat (Nasdaq: ACAT) jumped 20% today after announcing it was buying back shares from Suzuki Motor.

So what: Arctic Cat will buy back the 33% stake that Suzuki owns for $79.3 million, a $13-per-share price. The deal will reduce shares outstanding to 12.3 million, from 18.4 million, and will leave the company with $60 million in cash after the purchase.

Now what: This certainly looks like a sweetheart deal for shareholders, with shares now trading over $22 per share. The stock is now trading at new 52-week highs, momentum that I think can continue now that the company is free of Suzuki. The current P/E ratio of 22.5 will also come down as analysts update the lower share count as a result of this deal.

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This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.