How does a leading company keep growing? Long after competitive dominance is established and competitors benchmark a firm as ‘the company to beat’, how does a management team find new avenues for growth? One tried and true method is seeking growth through acquisitions.

Since acquiring PeopleSoft, January, 2005 ORCL management has made 30 additional acquisitions. The strategy appears to be working. ORCL has posted net revenue growth (on a trailing 12 month basis) of 25% and 27% the last two reported quarters. And investors have responded enthusiastically and bid up ORCL’s stock to levels not seen since mid 2001. This leaves us wondering, “Given the shares’ nearly 35% appreciation in the last 12 months what catalyst can drive the shares higher?” read more…