ORACLE CORP (1ORCL.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1ORCL - US68389X1054 - Common Stock
159.38 EUR
+2.26 (+1.44%)
Taking everything into account, 1ORCL scores 5 out of 10 in our fundamental rating. 1ORCL was compared to 115 industry peers in the Software industry. While 1ORCL is still in line with the averages on profitability rating, there are concerns on its financial health. 1ORCL is valued quite expensive, but it does show an excellent growth.
1. Profitability
1.1 Basic Checks
In the past year 1ORCL was profitable.
In the past year 1ORCL had a positive cash flow from operations.
1ORCL had positive earnings in each of the past 5 years.
In the past 5 years 1ORCL always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.89%, 1ORCL is in line with its industry, outperforming 60.00% of the companies in the same industry.
The Return On Equity of 1ORCL (51.51%) is better than 92.17% of its industry peers.
1ORCL has a better Return On Invested Capital (11.72%) than 76.52% of its industry peers.
1ORCL had an Average Return On Invested Capital over the past 3 years of 11.80%. This is in line with the industry average of 12.73%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.89% | ||
| ROE | 51.51% | ||
| ROIC | 11.72% |
ROA(3y)7.05%
ROA(5y)7.55%
ROE(3y)324.52%
ROE(5y)N/A
ROIC(3y)11.8%
ROIC(5y)12.82%
1.3 Margins
1ORCL has a Profit Margin of 21.08%. This is in the better half of the industry: 1ORCL outperforms 78.26% of its industry peers.
In the last couple of years the Profit Margin of 1ORCL has declined.
Looking at the Operating Margin, with a value of 31.53%, 1ORCL belongs to the top of the industry, outperforming 88.70% of the companies in the same industry.
1ORCL's Operating Margin has declined in the last couple of years.
1ORCL has a Gross Margin (69.66%) which is in line with its industry peers.
In the last couple of years the Gross Margin of 1ORCL has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.53% | ||
| PM (TTM) | 21.08% | ||
| GM | 69.66% |
OM growth 3Y-5.7%
OM growth 5Y-2.96%
PM growth 3Y11.06%
PM growth 5Y-3.53%
GM growth 3Y-3.75%
GM growth 5Y-2.42%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), 1ORCL is creating some value.
Compared to 1 year ago, 1ORCL has more shares outstanding
Compared to 5 years ago, 1ORCL has less shares outstanding
The debt/assets ratio for 1ORCL has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.51 indicates that 1ORCL is not a great score, but indicates only limited risk for bankruptcy at the moment.
1ORCL has a Altman-Z score of 2.51. This is comparable to the rest of the industry: 1ORCL outperforms 44.35% of its industry peers.
1ORCL has a Debt/Equity ratio of 3.40. This is a high value indicating a heavy dependency on external financing.
1ORCL has a worse Debt to Equity ratio (3.40) than 90.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.4 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.51 |
ROIC/WACC1.1
WACC10.62%
2.3 Liquidity
1ORCL has a Current Ratio of 0.62. This is a bad value and indicates that 1ORCL is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of 1ORCL (0.62) is worse than 87.83% of its industry peers.
A Quick Ratio of 0.62 indicates that 1ORCL may have some problems paying its short term obligations.
With a Quick ratio value of 0.62, 1ORCL is not doing good in the industry: 86.96% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.62 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.95% over the past year.
1ORCL shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.22% yearly.
The Revenue has grown by 8.38% in the past year. This is quite good.
Measured over the past years, 1ORCL shows a small growth in Revenue. The Revenue has been growing by 8.00% on average per year.
EPS 1Y (TTM)16.95%
EPS 3Y7.09%
EPS 5Y9.22%
EPS Q2Q%53.74%
Revenue 1Y (TTM)8.38%
Revenue growth 3Y10.59%
Revenue growth 5Y8%
Sales Q2Q%14.22%
3.2 Future
1ORCL is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 28.64% yearly.
The Revenue is expected to grow by 31.43% on average over the next years. This is a very strong growth
EPS Next Y15.26%
EPS Next 2Y16.29%
EPS Next 3Y22.64%
EPS Next 5Y28.64%
Revenue Next Year17.46%
Revenue Next 2Y20.86%
Revenue Next 3Y29.82%
Revenue Next 5Y31.43%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 27.20 indicates a quite expensive valuation of 1ORCL.
70.43% of the companies in the same industry are more expensive than 1ORCL, based on the Price/Earnings ratio.
1ORCL's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.22.
With a Price/Forward Earnings ratio of 23.01, 1ORCL is valued on the expensive side.
Based on the Price/Forward Earnings ratio, 1ORCL is valued a bit cheaper than 66.96% of the companies in the same industry.
1ORCL is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.58, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.2 | ||
| Fwd PE | 23.01 |
4.2 Price Multiples
1ORCL's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 24.47 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
1ORCL has a very decent profitability rating, which may justify a higher PE ratio.
1ORCL's earnings are expected to grow with 22.64% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.78
PEG (5Y)2.95
EPS Next 2Y16.29%
EPS Next 3Y22.64%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.01%, 1ORCL has a reasonable but not impressive dividend return.
In the last 3 months the price of 1ORCL has falen by -37.74%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 0.68, 1ORCL pays a better dividend. On top of this 1ORCL pays more dividend than 81.74% of the companies listed in the same industry.
With a Dividend Yield of 1.01, 1ORCL pays less dividend than the S&P500 average, which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.01% |
5.2 History
On average, the dividend of 1ORCL grows each year by 12.29%, which is quite nice.
Dividend Growth(5Y)12.29%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
40.62% of the earnings are spent on dividend by 1ORCL. This is a bit on the high side, but may be sustainable.
1ORCL's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP40.62%
EPS Next 2Y16.29%
EPS Next 3Y22.64%
BIT:1ORCL (12/16/2025, 7:00:00 PM)
159.38
+2.26 (+1.44%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners45.2%
Inst Owner ChangeN/A
Ins Owners0.16%
Ins Owner ChangeN/A
Market Cap454.36B
Revenue(TTM)57.40B
Net Income(TTM)12.44B
Analysts80
Price Target290.55 (82.3%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.01% |
Yearly Dividend1.45
Dividend Growth(5Y)12.29%
DP40.62%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.63%
Min EPS beat(2)-2.65%
Max EPS beat(2)1.38%
EPS beat(4)1
Avg EPS beat(4)-1.84%
Min EPS beat(4)-3.45%
Max EPS beat(4)1.38%
EPS beat(8)3
Avg EPS beat(8)-0.97%
EPS beat(12)6
Avg EPS beat(12)-0.19%
EPS beat(16)8
Avg EPS beat(16)0.18%
Revenue beat(2)1
Avg Revenue beat(2)-1.34%
Min Revenue beat(2)-2.69%
Max Revenue beat(2)0.02%
Revenue beat(4)1
Avg Revenue beat(4)-2.19%
Min Revenue beat(4)-3.73%
Max Revenue beat(4)0.02%
Revenue beat(8)1
Avg Revenue beat(8)-2.35%
Revenue beat(12)1
Avg Revenue beat(12)-2.04%
Revenue beat(16)1
Avg Revenue beat(16)-1.83%
PT rev (1m)-6.31%
PT rev (3m)8.03%
EPS NQ rev (1m)-0.01%
EPS NQ rev (3m)0.13%
EPS NY rev (1m)-0.01%
EPS NY rev (3m)0.43%
Revenue NQ rev (1m)0.03%
Revenue NQ rev (3m)0.12%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)0.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.2 | ||
| Fwd PE | 23.01 | ||
| P/S | 9.07 | ||
| P/FCF | N/A | ||
| P/OCF | 24.85 | ||
| P/B | 22.15 | ||
| P/tB | N/A | ||
| EV/EBITDA | 24.47 |
EPS(TTM)5.86
EY3.68%
EPS(NY)6.93
Fwd EY4.35%
FCF(TTM)-1.75
FCFYN/A
OCF(TTM)6.41
OCFY4.02%
SpS17.58
BVpS7.19
TBVpS-12.58
PEG (NY)1.78
PEG (5Y)2.95
Graham Number30.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.89% | ||
| ROE | 51.51% | ||
| ROCE | 13.24% | ||
| ROIC | 11.72% | ||
| ROICexc | 12.71% | ||
| ROICexgc | 26.06% | ||
| OM | 31.53% | ||
| PM (TTM) | 21.08% | ||
| GM | 69.66% | ||
| FCFM | N/A |
ROA(3y)7.05%
ROA(5y)7.55%
ROE(3y)324.52%
ROE(5y)N/A
ROIC(3y)11.8%
ROIC(5y)12.82%
ROICexc(3y)12.98%
ROICexc(5y)16.54%
ROICexgc(3y)38.87%
ROICexgc(5y)55.63%
ROCE(3y)13.34%
ROCE(5y)14.48%
ROICexgc growth 3Y-23.67%
ROICexgc growth 5Y-30%
ROICexc growth 3Y-14.81%
ROICexc growth 5Y-10.94%
OM growth 3Y-5.7%
OM growth 5Y-2.96%
PM growth 3Y11.06%
PM growth 5Y-3.53%
GM growth 3Y-3.75%
GM growth 5Y-2.42%
F-Score4
Asset Turnover0.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.4 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.27 | ||
| Cap/Depr | 420.65% | ||
| Cap/Sales | 46.45% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 85.71% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.62 | ||
| Altman-Z | 2.51 |
F-Score4
WACC10.62%
ROIC/WACC1.1
Cap/Depr(3y)199.27%
Cap/Depr(5y)163.1%
Cap/Sales(3y)22.44%
Cap/Sales(5y)16.65%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)16.95%
EPS 3Y7.09%
EPS 5Y9.22%
EPS Q2Q%53.74%
EPS Next Y15.26%
EPS Next 2Y16.29%
EPS Next 3Y22.64%
EPS Next 5Y28.64%
Revenue 1Y (TTM)8.38%
Revenue growth 3Y10.59%
Revenue growth 5Y8%
Sales Q2Q%14.22%
Revenue Next Year17.46%
Revenue Next 2Y20.86%
Revenue Next 3Y29.82%
Revenue Next 5Y31.43%
EBIT growth 1Y11.4%
EBIT growth 3Y4.29%
EBIT growth 5Y4.8%
EBIT Next Year46.75%
EBIT Next 3Y39.06%
EBIT Next 5Y35.91%
FCF growth 1Y-162.19%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y21.35%
OCF growth 3Y29.72%
OCF growth 5Y9.64%
ORACLE CORP / 1ORCL.MI FAQ
What is the ChartMill fundamental rating of ORACLE CORP (1ORCL.MI) stock?
ChartMill assigns a fundamental rating of 5 / 10 to 1ORCL.MI.
Can you provide the valuation status for ORACLE CORP?
ChartMill assigns a valuation rating of 3 / 10 to ORACLE CORP (1ORCL.MI). This can be considered as Overvalued.
How profitable is ORACLE CORP (1ORCL.MI) stock?
ORACLE CORP (1ORCL.MI) has a profitability rating of 6 / 10.
What is the financial health of ORACLE CORP (1ORCL.MI) stock?
The financial health rating of ORACLE CORP (1ORCL.MI) is 2 / 10.
How sustainable is the dividend of ORACLE CORP (1ORCL.MI) stock?
The dividend rating of ORACLE CORP (1ORCL.MI) is 6 / 10 and the dividend payout ratio is 40.62%.