ORACLE CORP (1ORCL.MI) Stock Fundamental Analysis
Europe - BIT:1ORCL - US68389X1054 - Common Stock
252.15 EUR
-5.7 (-2.21%)
Taking everything into account, 1ORCL scores 4 out of 10 in our fundamental rating. 1ORCL was compared to 103 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 quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
1ORCL had positive earnings in the past year.
In the past year 1ORCL had a positive cash flow from operations.
1ORCL had positive earnings in each of the past 5 years.
1ORCL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
1ORCL has a better Return On Assets (6.89%) than 67.96% of its industry peers.
1ORCL has a Return On Equity of 51.51%. This is amongst the best in the industry. 1ORCL outperforms 90.29% of its industry peers.
Looking at the Return On Invested Capital, with a value of 11.72%, 1ORCL is in the better half of the industry, outperforming 79.61% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for 1ORCL is in line with the industry average of 12.80%.
| 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
Looking at the Profit Margin, with a value of 21.08%, 1ORCL is in the better half of the industry, outperforming 78.64% of the companies in the same industry.
In the last couple of years the Profit Margin of 1ORCL has declined.
1ORCL's Operating Margin of 31.53% is amongst the best of the industry. 1ORCL outperforms 89.32% of its industry peers.
In the last couple of years the Operating Margin of 1ORCL has declined.
The Gross Margin of 1ORCL (69.66%) is comparable to the rest of the industry.
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so 1ORCL is still creating some value.
The number of shares outstanding for 1ORCL has been increased compared to 1 year ago.
Compared to 5 years ago, 1ORCL has less shares outstanding
Compared to 1 year ago, 1ORCL has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.71 indicates that 1ORCL is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.71, 1ORCL is in line with its industry, outperforming 59.22% of the companies in the same industry.
1ORCL has a Debt/Equity ratio of 3.40. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 3.40, 1ORCL is not doing good in the industry: 86.41% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.4 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.71 |
ROIC/WACC1.08
WACC10.84%
2.3 Liquidity
A Current Ratio of 0.62 indicates that 1ORCL may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.62, 1ORCL is doing worse than 81.55% of the companies in the same industry.
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: 80.58% 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
1ORCL shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 5.89%.
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 9.67% in the last year.
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)5.89%
EPS 3Y7.09%
EPS 5Y9.22%
EPS Q2Q%5.76%
Revenue 1Y (TTM)9.67%
Revenue growth 3Y10.59%
Revenue growth 5Y8%
Sales Q2Q%12.17%
3.2 Future
1ORCL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.67% yearly.
The Revenue is expected to grow by 19.34% on average over the next years. This is quite good.
EPS Next Y14.76%
EPS Next 2Y17.55%
EPS Next 3Y19.51%
EPS Next 5Y19.67%
Revenue Next Year17.33%
Revenue Next 2Y19.59%
Revenue Next 3Y26.1%
Revenue Next 5Y19.34%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
A Price/Earnings ratio of 48.87 indicates a quite expensive valuation of 1ORCL.
1ORCL's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of 1ORCL to the average of the S&P500 Index (27.41), we can say 1ORCL is valued expensively.
With a Price/Forward Earnings ratio of 35.82, 1ORCL can be considered very expensive at the moment.
1ORCL's Price/Forward Earnings ratio is in line with the industry average.
1ORCL's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 22.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.87 | ||
| Fwd PE | 35.82 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as 1ORCL.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 36.93 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1ORCL does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of 1ORCL may justify a higher PE ratio.
1ORCL's earnings are expected to grow with 19.51% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.31
PEG (5Y)5.3
EPS Next 2Y17.55%
EPS Next 3Y19.51%
5. Dividend
5.1 Amount
1ORCL has a yearly dividend return of 0.65%, which is pretty low.
Compared to an average industry Dividend Yield of 2.08, 1ORCL pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.65, 1ORCL pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.65% |
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.
The dividend of 1ORCL is growing, but earnings are growing more, so the dividend growth is sustainable.
DP40.62%
EPS Next 2Y17.55%
EPS Next 3Y19.51%
BIT:1ORCL (9/17/2025, 7:00:00 PM)
252.15
-5.7 (-2.21%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners44.74%
Inst Owner ChangeN/A
Ins Owners0.15%
Ins Owner ChangeN/A
Market Cap716.54B
Analysts79.15
Price Target268.95 (6.66%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.65% |
Yearly Dividend1.46
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)30.64%
PT rev (3m)68.5%
EPS NQ rev (1m)0.79%
EPS NQ rev (3m)1.65%
EPS NY rev (1m)0.04%
EPS NY rev (3m)1.55%
Revenue NQ rev (1m)-0.04%
Revenue NQ rev (3m)1.76%
Revenue NY rev (1m)0.24%
Revenue NY rev (3m)2.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.87 | ||
| Fwd PE | 35.82 | ||
| P/S | 14.37 | ||
| P/FCF | N/A | ||
| P/OCF | 39.39 | ||
| P/B | 35.11 | ||
| P/tB | N/A | ||
| EV/EBITDA | 36.93 |
EPS(TTM)5.16
EY2.05%
EPS(NY)7.04
Fwd EY2.79%
FCF(TTM)-1.75
FCFYN/A
OCF(TTM)6.4
OCFY2.54%
SpS17.55
BVpS7.18
TBVpS-12.55
PEG (NY)3.31
PEG (5Y)5.3
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%
ROICexcg growth 3Y-23.67%
ROICexcg 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 | 3.71 |
F-Score4
WACC10.84%
ROIC/WACC1.08
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)5.89%
EPS 3Y7.09%
EPS 5Y9.22%
EPS Q2Q%5.76%
EPS Next Y14.76%
EPS Next 2Y17.55%
EPS Next 3Y19.51%
EPS Next 5Y19.67%
Revenue 1Y (TTM)9.67%
Revenue growth 3Y10.59%
Revenue growth 5Y8%
Sales Q2Q%12.17%
Revenue Next Year17.33%
Revenue Next 2Y19.59%
Revenue Next 3Y26.1%
Revenue Next 5Y19.34%
EBIT growth 1Y11.4%
EBIT growth 3Y4.29%
EBIT growth 5Y4.8%
EBIT Next Year42.32%
EBIT Next 3Y27.59%
EBIT Next 5Y25.19%
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%