ORACLE CORP (1ORCL.MI) Stock Fundamental Analysis
Europe • Euronext Milan • BIT:1ORCL • US68389X1054
140.62 EUR
+3.18 (+2.31%)
Last: Jan 30, 2026, 07:00 PM
Overall 1ORCL gets a fundamental rating of 5 out of 10. We evaluated 1ORCL against 114 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 growing strongly while it is still valued neutral. This is a good combination!
1. Profitability
1.1 Basic Checks
- In the past year 1ORCL was profitable.
- 1ORCL had a positive operating cash flow in the past year.
- 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
- 1ORCL has a better Return On Assets (7.52%) than 60.53% of its industry peers.
- 1ORCL has a Return On Equity of 51.50%. This is amongst the best in the industry. 1ORCL outperforms 90.35% of its industry peers.
- 1ORCL has a better Return On Invested Capital (10.28%) than 71.05% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for 1ORCL is in line with the industry average of 13.49%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.52% | ||
| ROE | 51.5% | ||
| ROIC | 10.28% |
ROA(3y)7.05%
ROA(5y)7.55%
ROE(3y)324.52%
ROE(5y)N/A
ROIC(3y)11.78%
ROIC(5y)12.8%
1.3 Margins
- The Profit Margin of 1ORCL (25.28%) is better than 83.33% of its industry peers.
- In the last couple of years the Profit Margin of 1ORCL has declined.
- The Operating Margin of 1ORCL (31.81%) is better than 90.35% of its industry peers.
- 1ORCL's Operating Margin has declined in the last couple of years.
- 1ORCL has a Gross Margin (68.54%) which is in line with its industry peers.
- 1ORCL's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.81% | ||
| PM (TTM) | 25.28% | ||
| GM | 68.54% |
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
- 1ORCL has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- The number of shares outstanding for 1ORCL has been increased compared to 1 year ago.
- The number of shares outstanding for 1ORCL has been reduced compared to 5 years ago.
- The debt/assets ratio for 1ORCL has been reduced compared to a year ago.
2.2 Solvency
- 1ORCL has an Altman-Z score of 2.13. This is not the best score and indicates that 1ORCL is in the grey zone with still only limited risk for bankruptcy at the moment.
- 1ORCL has a Altman-Z score of 2.13. This is comparable to the rest of the industry: 1ORCL outperforms 42.98% of its industry peers.
- 1ORCL has a Debt/Equity ratio of 3.49. This is a high value indicating a heavy dependency on external financing.
- Looking at the Debt to Equity ratio, with a value of 3.49, 1ORCL is doing worse than 88.60% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.49 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.13 |
ROIC/WACC0.96
WACC10.75%
2.3 Liquidity
- A Current Ratio of 0.91 indicates that 1ORCL may have some problems paying its short term obligations.
- The Current ratio of 1ORCL (0.91) is worse than 77.19% of its industry peers.
- 1ORCL has a Quick Ratio of 0.91. This is a bad value and indicates that 1ORCL is not financially healthy enough and could expect problems in meeting its short term obligations.
- 1ORCL has a worse Quick ratio (0.91) than 75.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 16.95% over the past year.
- The Earnings Per Share has been growing by 9.22% on average over the past years. This is quite good.
- Looking at the last year, 1ORCL shows a quite strong growth in Revenue. The Revenue has grown by 11.08% in the last year.
- The Revenue has been growing slightly by 8.00% on average over the past years.
EPS 1Y (TTM)16.95%
EPS 3Y7.09%
EPS 5Y9.22%
EPS Q2Q%53.74%
Revenue 1Y (TTM)11.08%
Revenue growth 3Y10.59%
Revenue growth 5Y8%
Sales Q2Q%14.22%
3.2 Future
- Based on estimates for the next years, 1ORCL will show a very strong growth in Earnings Per Share. The EPS will grow by 28.20% on average per year.
- 1ORCL is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 31.83% yearly.
EPS Next Y24.78%
EPS Next 2Y15.82%
EPS Next 3Y21.74%
EPS Next 5Y28.2%
Revenue Next Year17.39%
Revenue Next 2Y23.23%
Revenue Next 3Y31.52%
Revenue Next 5Y31.83%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 24.37, 1ORCL is valued on the expensive side.
- Based on the Price/Earnings ratio, 1ORCL is valued a bit cheaper than the industry average as 72.81% of the companies are valued more expensively.
- The average S&P500 Price/Earnings ratio is at 28.30. 1ORCL is around the same levels.
- Based on the Price/Forward Earnings ratio of 20.81, the valuation of 1ORCL can be described as rather expensive.
- 72.81% of the companies in the same industry are more expensive than 1ORCL, based on the Price/Forward Earnings ratio.
- When comparing the Price/Forward Earnings ratio of 1ORCL to the average of the S&P500 Index (25.57), we can say 1ORCL is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.37 | ||
| Fwd PE | 20.81 |
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 | 21.17 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The decent profitability rating of 1ORCL may justify a higher PE ratio.
- 1ORCL's earnings are expected to grow with 21.74% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.98
PEG (5Y)2.64
EPS Next 2Y15.82%
EPS Next 3Y21.74%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.12%, 1ORCL has a reasonable but not impressive dividend return.
- The stock price of 1ORCL dropped by -37.31% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
- Compared to an average industry Dividend Yield of 0.68, 1ORCL pays a better dividend. On top of this 1ORCL pays more dividend than 82.46% of the companies listed in the same industry.
- Compared to the average S&P500 Dividend Yield of 1.82, 1ORCL is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.12% |
5.2 History
- The dividend of 1ORCL is nicely growing with an annual growth rate of 12.29%!
Dividend Growth(5Y)12.29%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 1ORCL pays out 34.81% of its income as dividend. This is a sustainable payout ratio.
- The dividend of 1ORCL is growing, but earnings are growing more, so the dividend growth is sustainable.
DP34.81%
EPS Next 2Y15.82%
EPS Next 3Y21.74%
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.
What is the valuation status of ORACLE CORP (1ORCL.MI) stock?
ChartMill assigns a valuation rating of 4 / 10 to ORACLE CORP (1ORCL.MI). This can be considered as Fairly Valued.
How profitable is ORACLE CORP (1ORCL.MI) stock?
ORACLE CORP (1ORCL.MI) has a profitability rating of 6 / 10.
How financially healthy is ORACLE CORP?
The financial health rating of ORACLE CORP (1ORCL.MI) is 2 / 10.
Can you provide the dividend sustainability for 1ORCL stock?
The dividend rating of ORACLE CORP (1ORCL.MI) is 6 / 10 and the dividend payout ratio is 34.81%.