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 Heico (NYSE:HEI) fell as much as 10% today after the aerospace supplier reported fiscal first-quarter earnings.

Why it's happening: Quarterly revenue increased slightly to $268.2 million, but fell short of the $287.6 million Wall Street analysts expected. Net income of $27.6 million, or $0.41 per share, was also short of the $0.45 consensus estimate.  
Despite these shortfalls, management still expects 8% to 10% growth on the top and bottom lines for the full year. This should be helped by two acquisitions made in late January that did not contribute significantly in the first quarter.  

Buying companies is one way to grow, but my concern is organic growth. The flight support group's organic growth was negative 1% in the quarter and the electronic technologies group only grew organically by 2%. That's not a lot for a company trading for 33 times trailing earnings. That price will keep me on the sidelines today.

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.