4-Star Stocks Poised to Pop: Quality Systems

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, medical records software maker Quality Systems (NAS: QSII) has earned a respected four-star ranking.

With that in mind, let's take a closer look at Quality Systems and see what CAPS investors are saying about the stock right now.

Quality Systemsfacts

Headquarters (founded)

Irvine, Calif. (1974)

Market Cap

$1.0 billion

Industry

Health care technology

Trailing-12-Month Revenue

$447.7 million

Management

CEO Steven Plochocki (since 2008)
CFO Paul Holt (since 2000)

Return on Equity (average, past 3 years)

28.3%

Cash / Debt

$134.9 million / $0

Dividend Yield

4%

Competitors

Allscripts Healthcare Solutions


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 97% of the 2,219 members who have rated Quality Systems believe the stock will outperform the S&P 500 going forward.

Just last month, one of those Fools, All-Star BuffettJunior1, tapped Quality Systems as a particularly attractive bargain opportunity:

This is an outstanding business trading at an extremely low valuation. The company operates in an industry that will continue to grow at a rapid rate over the next couple of decades. While I may not know what will happen over the next few quarters, over the long run well positioned companies in this industry (such as QSII) will almost certainly do very well. This is one of the rare stocks that I would give an A rating to.

If you want market-thumping returns, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future. Of course, despite a strong four-star rating, Quality Systems may not be your top choice.

If that's the case, we've compiled a special free report for investors called "The 3 Dow Stocks Dividend Investors Need," which uncovers several other juicy income opportunities. The report is 100% free, but it won't be around forever, so click here to access it now.

Want to see how well (or not so well) the stocks in this series are performing? Follow theTrackPoisedToCAPS account.

The article 4-Star Stocks Poised to Pop: Quality Systems originally appeared on Fool.com.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Motley Fool newsletter services have recommended buying shares of Quality Systems and McKesson. 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 Fool's disclosure policy always gets a perfect score.

Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Advertisement