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's happening?
Shares of Silicon Laboratories (NASDAQ:SLAB) jumped as much as 9.8% this morning after the company announced better-than-expected fourth-quarter results and an acquisition.

Why it's happening
Quarterly revenue rose 10.7% year over year, to $162 million, which translated to adjusted earnings of $0.57 per diluted share. Analysts, on average, were looking for earnings of just $0.47 per share on sales of $157.9 million.

In addition, for the current quarter, Silicon Laboratories expects revenue of $156 million to $162 million, and adjusted earnings per share between $0.42 and $0.48. Wall Street was modeling earnings and revenue of $0.44 per share and $154.3 million, respectively.

Finally, Silicon Labs announced it has acquired privately held, Finland-based Bluegiga Technologies Oy for $61 million in cash. Bluegiga Technologies is expected to contribute $25 million to $28 million in revenue this year, and should be accretive to adjusted earnings.

More importantly, however, its portfolio includes ultra-low-power Bluetooth and Wi-Fi modules, software stacks, development tools, and software development kits aimed at a broad range of applications including industrial automation, consumer electronics, audio, automotive, retail, residential, and health and fitness. This should enable the combined companies to become a "one-stop shop" for standards-based wireless connectivity solutions, and further Silicon Labs' goal of capitalizing on the Internet of Things.

Steve Symington has no position in any stocks mentioned. The Motley Fool recommends Silicon Laboratories. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.