Get out a large Dutch oven or stock pot and heat olive oil over medium high heat. Add mushrooms and roasted red peppers and let them soften for a couple of minutes. Then add onion and garlic and stir well. Stir in lentils and tomato paste and let cook for another couple of minutes.
While lentils cook, season everything with paprika, cinnamon, salt and pepper. Finally, pour in diced tomatoes, stock and water. Add gnocchi, thyme, sage and bay leaves. Bring soup to a low boil, then reduce to a simmer and let cook for 15 minutes, stirring occasionally. The lentils and gnocchi should get perfectly tender.
After 15 minutes, remove thyme, sage and bay leaves. Stir in arugula and Parmesan until arugula wilts in and Parmesan melts. Scoop stew into bowls and serve immediately with crusty bread! It also makes great leftovers.