Disclosure for American Software Inc.
I, , certify that this report reflects my personal beliefs about this company and that no portion of my compensation was, is or will be directly or indirectly related to the specific recommendations or views discussed in this report.
- B. Riley & Co., LLC does and seeks to do business with companies covered in its research reports
- A portion of this analyst’s compensation is based on the investment banking activities of B. Riley & Co., LLC.
 |
| Ratings Distribution as of September 5, 2010 |
|
% with Investment Banking Relationships |
|
| Rating |
Number of Companies |
Percent of Total |
|
Rating |
Number of Companies |
Percent of Total |
|
| Buy |
82 |
75.9% |
|
Buy |
3 |
100.0% |
| Neutral |
25 |
23.1% |
|
Neutral |
0 |
0.0% |
| Sell |
1 |
0.9% |
|
Sell |
0 |
0.0% |
|
Total |
108 |
100% |
|
Total |
3 |
100% |
Explanation of B. Riley & Co. LLC’s Rating System
- Buy: We generally expect "Buy" rated stocks to materially outperform both the S&P 500 and Russell 2000 as well as other stocks in their sector. Further, we believe that the potential reward relative to the potential risk is particularly attractive.
- Neutral: We generally believe "Neutral" rated stocks will perform roughly in line with the S&P 500 and Russell 2000 over the intermediate and long term.
- Sell: We generally expect "Sell" rated stocks to materially underperform both the S&P 500 and Russell 2000 as well as other stocks in their sector. Further, we believe that the potential reward relative to the potential risk is particularly unattractive.
Risks and Considerations
- Acquisition/Integration - The Company actively evaluates potential acquisitions as part of its growth strategy. Acquisitions pursued by the Company could be dilutive to financial results and result in a difficult, dilutive or expensive integration.
- Competition - The industry is highly competitive and many of the Company's competitors have greater resources.
- Industry Change - The industry is subject to rapid technological change.
- Intellectual Property - The Company's business is dependent upon the licensing of its intellectual property (IP) to customers. Should the Company fail to maintain its IP or should the Company infringe upon another vendor's IP, financial results could be negatively impacted.
- General Industry - The Company could miss our estimates and/or their financial guidance.
- See the Company's SEC filings, particularly its 10-K filing, for a discussion of further potential risks.
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