Analyst Note| Julie Utterback, CFA |
No-moat Allscripts posted second-quarter results that were largely in line with our expectations. The firm was successful in improving operational efficiency, while sales remained relatively stable. Management announced a new partnership with PRA Health Sciences as well as an expansion to its cloud partnership with Microsoft. However, we remain pessimistic about the company’s ability to grow market share long term and maintain our fair value estimate of $11.40 per share.