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 teen apparel retailer Abercrombie & Fitch (NYSE:ANF) soared a whopping 27% today after the company's quarterly results and outlook blew out Wall Street expectations.

So what: Abercrombie has struggled in 2012 as increasing competition weighed on sales, but a wide third-quarter beat -- EPS of $0.87 versus the consensus of $0.59 -- coupled with upbeat guidance for the full year is sparking hopes of a turnaround. While same-store sales fell 3% during the quarter, a 37% sales surge in its international markets suggests that the brand still has plenty of room to grow abroad.

Now what: Management now sees full-year EPS of $2.85-$3.00, well ahead of the Wall Street's estimate of $2.48.

"Our principal focus remains to execute against our key strategic initiatives to leverage our iconic brands and to continue to be judicious in our use of our shareholders' capital to drive long-term shareholder value," said Chairman and CEO Mike Jeffries. Of course, given the industry's fickle nature, I'd be cautious about using one solid earnings report to justify buying into that bull talk.

Interested in more info on Abercrombie? Add it to your watchlist.

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.