Brocade Communications Systems
There's a lot to like about Brocade. The company has a solid product portfolio. Within its niche, Brocade is a serious rival even to networking master Cisco Systems
After today's 16% pop, Brocade's share price has more than tripled in 2009. Even so, the stock does not look expensive by traditional metrics like price to forward earnings, and the PEG ratio is hovering right around the perfectly reasonable 1.0 mark. HP and Oracle certainly have shown that they're willing to cut the occasional deal. If Oracle's pending acquisition of Sun Microsystems
The WSJ notes that there is no deal on the table yet, but Brocade is holding a strong hand and has several potential suitors. Don't be surprised if you see an actual buyout offer in the coming weeks. And congratulations if you bought in the last time we reminded you of Brocade's strength -- you're sitting on a market-beating 42% gain today.