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 Osiris Therapeutics (OTC:OSIR) soared a staggering 125% today after its Grafix stem-cell treatment for chronic diabetic foot ulcers proved overwhelmingly effective.

So what: In the study, 62% of patients receiving Grafix had achieved complete wound closure compared with only 21% of patients who received conventional treatment, triggering plenty of optimism on Wall Street for a boost in sales through increased insurer reimbursement. In fact, Osiris noted that foot ulcers afflict 25% of all diabetics and are responsible for more hospitalizations than any other diabetic complication, suggesting that the sales-growth potential is massive.

Now what: The blinded phase of the trial will be discontinued, and all patients randomized to the control group will be offered Grafix immediately. "We know now that an unfortunate consequence of diabetes is the pathological change that occurs with the number and functionality of certain stem cell populations necessary for optimal wound repair," said Chief Scientific Officer Michelle LeRoux Williams, Ph.D. "With Grafix, we are able to help correct this problem by providing patients with a rich source of healthy, non-controversial stem cells contained within a biologic matrix for easy delivery in the out-patient setting." Of course, with the stock now up a whopping 270% from its 52-week lows, and trading at a price-to-sales multiple of 23, Fools will need plenty of biotech smarts to figure out just how much of that bullishness is already baked into the valuation.