We have rated Chindex a buy since January 2008. Strengths include revenue growth, net income growth, a solid financial position and a pattern of EPS growth. For the third quarter of fiscal 2008, the company reported year-over-year revenue growth of 19%. This appears to have helped boost the company's earnings per share, which showed significant improvement to 42 cents in the most recent quarter from 9 cents in the third quarter of fiscal 2007. Net income and net operating cash flow increased substantially in the same period. Finally, the company's relatively low debt-to-equity ratio of 0.77 implies successful management of debt levels. Looking forward, Chindex is currently implementing a market entry plan in Guangzhou, also known as Canton, with the construction of an outpatient clinic center. Management also announced the company's active participation in programs related to the 2008 Summer Olympics, to be held in China. Management is also optimistic about the future performance of the Medical Products division, due to pent-up demand for imported medical devices. While the stock is trading at a premium based on our review, we feel that the company's strengths outweigh the high price, at this time. Our quantitative rating is based on a variety of historical fundamental and pricing data and represents our opinion of a stock's risk-adjusted performance relative to other stocks. However, the rating does not incorporate all of the factors that can alter a stock's performance. For example, it doesn't always factor in recent corporate or industry events that could affect the stock price, nor does it include recent technology developments and competitive dynamics that may affect the company. For those reasons, we believe that a rating alone cannot tell the whole story and that it should be part of an investor's overall research.