Qualitative Analysis

Qualitative analysis, contrary to quantative analysis, attempts to analyze investments with subject measures on qualitative factors such as brand names, management competence, efficieny of research and development and so on.

Philip Fisher was a big proponent of qualitative analysis.

Buffett notes that over the years, he has leaned more towards qualitative analysis. “If you buy a great business at a slightly higher price, if you stay in a long time, you’ll still be fine.”