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Technology Stocks : Oracle Corporation (ORCL) -- Ignore unavailable to you. Want to Upgrade?


To: norm chin who wrote (10280)3/31/1999 8:42:00 AM
From: Still Rolling  Respond to of 19079
 
Oracle was identified as a good long term value play on CNBC this morning; might help give us some momentum, although PSFT won't help.



To: norm chin who wrote (10280)3/31/1999 5:18:00 PM
From: hasbeen101  Read Replies (4) | Respond to of 19079
 
The growth rate for any company has an asymptote: and that asymptote is the growth rate of the economy.

The logic is extremely simple: if a company grew faster than the economy for an unlimited period of time, it would end up being bigger than the economy. This is just a mathematical fact (and a practical impossiblity). Therefore every fast-growing company must hit this wall sometime.

I only mention this in regard to Oracle, because it's already big and it has historically grown fast. If it grew in the future at the same rate it has in the past, it would be bigger than the US economy (or even the world economy if you want) within a relatively short period (my guess is 20 years, if you really want I'll look up the numbers and do the math).