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 energy engineering company McDermott International (NYSE:MDR) dropped 18% today after announcing earnings.

So what: Second-quarter revenue fell 27% to $647 million after major projects closed in the past year and earnings per share swung to a loss of $0.63. Wall Street was expecting revenue of $757.9 million and income of $0.22 per share, so clearly the company performed well below expectations.  

Now what: CFO John McCormack also announced his retirement yesterday, leaving a big void at the top of the company. Analysts from BB&T Capital piled on by rushing to downgrade the stock from buy to hold, which added to the downward pressure. I don't see a reason to buy today given the weak bottom line and would wait for a significant pickup in revenue and backlog before jumping in.