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 electronic design company Mentor Graphics (NASDAQ:MENT) jumped as much as 11% in early trading after announcing earnings.

So what: Revenue rose 5% to $253.2 million and adjusted earnings per share were up 24% to $0.26. Analysts were only expecting $244.9 million in revenue and earnings of $0.17 per share so the company easily beat the bar Wall Street had set.  

Management also announced an increase to its share repurchase authorization, which now stands at $100 million and will pay a $0.045 per share quarterly dividend.

Now what: New innovations are driving the company's results and management was confident that would continue during the ramp of emulation production. The outlook for full-year revenue was kept at $1.155 billion in revenue but non-GAAP earnings per share guidance was increased to $1.59. The company's forward P/E ratio of 13 is fairly low given the earnings growth and I think the value and operational momentum will push the stock higher.

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