Diane Windingland called the meeting of the Crow River Investment Club to order at 6:30 pm on July 8, 2008.
Lynn Ostrem, Carole Ripplinger, Craig Block, Marion Marshall, Sheryl Sostarich, Diane Windingland, Kim Windingland, Dan Vitez, Ron Thorson, Beth Silverwater, and Mike Trisler were present with payment. Gary Quernemoen was absent with notice and payment.
The minutes of the June 10, 2008 meeting were approved as posted.
Carole made a dues deposit totaling $470 (including late payments from Deantha Menon and Mike Trisler). We paid $161.39 to Deantha Menon for her buyout from the club, leaving an ending bank balance of $324.13.
Carole bought 18 shares of Coach for $610.31. We received dividend income of $46.70 minus $1.00 in foreign tax, leaving an ending brokerage account balance of $842.13.
We received a letter of resignation dated July 6, 2008 from Eric Chlan.
Quality Systems Corp by Diane. Quality Systems Corp develops enterprise management software for the medical and dental industries. While there is a lot of competition, from companies such as Cerner, HLTH Corp, Eclipsys and Trizetto, QSI has better fundamental characteristics. Diane chose judgments on the SSG as follows: 18.6% sales growth, 19% EPS growth, high P/E of 30, low P/E of 19.3, and low price of $26. Diane recommends a buy.
Ron showed us on a chart how diversification has helped to boost our overall performance. We agreed to start using the Tin Cup Strategy as designed by Mark Robertson to make buy and decisions in our club portfolio. We will be able to modify the criteria to suit our club style of investing.
Dan will begin using the Roster of Quality (StockCentral) and the Manifest Top 10 to build two challenge lists each month. We agreed to choose the highest quality stock from the two lists as our new stock to present.
The following stock watcher assignments are effective in August: Kim Windingland – FactSet Research, Mike Trisler – Walgreen, and Sheryl Sostarich – Infosys Technologies.
Quarterly Stock Reports
Quarterly stock reports for FactSet Research (Craig) and Walgreen (Steve) were posted to the message board.
Due to resignations, we voted not to buy or sell securities in our club account.
We had an open discussion of the Club Survey results. It was generally felt that some of the comments on the survey were too harsh and non-constructive while others could be helpful in making our meetings more fun and productive. With recent resignations, we would now regroup and reassign stock watcher duties and educational topics.
Assignments for the August meeting:
1. Dan Vitez will give a new stock presentation.
3. Quarterly stock reports are due for Coach (Kim), General Electric (Mike), Infosys Technologies (Sheryl), National Oilwell Varco (Gary), Portfolio Recovery Associates (Dan), Stryker (Marion) and Wells Fargo (Beth). Quarterly stock reports are to be posted to the message board no later than 2 days before the August meeting.
4. Carole will transfer stock (FactSet Research) and cash to Craig Block for his buyout from the club.
5. Each member is to email suggestions for a checklist of tasks that need to be completed prior to each club meeting.
6. Each member is to email suggestions for what items should be included in a new stock report.
The meeting was adjourned at 8:35 pm.
Sheryl A Sostarich, Secretary
The next meeting will be at Lynn’s in St. Michael on Tuesday, August 12, 2008.