Quality Systems, Inc. (QSII)

gilsmokey980 (< 20) Submitted: 11/08/07 5:43 AM : Start Price: $27.85 QSII Score: 77.67

The basic need for medical records being digitized makes this company worth looking at alone. If you look further into QSII's current market penetration and the future market potential you should start to get excited. If you consider the marketing/growth models from the BCG Matrix to the Value Chain Model this stock is attractive in all models. If you are a technical trading person or a value buyer this stock is approaching its 52 week low. QSII has a market cap under $1 billion currently yielding a 3% dividend. ROE is a 34% with a PE at 24-25. (Buying a growth company tends to be very attractive below 30ish depending on the industry and I would think anything below 34 looks good here.) Revenue quarter over quarter has increased consistently. Debt is ZERO, if you don’t owe any money it is tough for you to go under. I haven’t done the Z-score for the 3Q numbers yet but I have no question that it will be above 2.675 (95% success rate) and above 3(100%) success rate), based on the original Z-score model.





I have no clue what a floor on this stock would be but I am willing to go for the ride in theory and in reality. I currently own shares and will be buying more. It looks like I am in good company as this has been a pretty longstanding SA pick. I also like the fact that QSII does not seem to place much emphasis on what the folks on the street think (the company is not a big fan of giving much guidance on earnings but they do tend to explain where there money comes from and where it will potentially be coming from). If anyone of those crazy democratic candidates gets into office the political environment for this company and its industry only gets better. I plan on owning this company for at least the next 5 years baring any significant change to management or company foundations.





“Be greedy when others are fearful”…some guy who likes to drink coke and give people exceptional investment returns.

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