ORACLE CORP (ORC.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:ORC - US68389X1054 - Common Stock
159.44 EUR
-3.14 (-1.93%)
Overall ORC gets a fundamental rating of 5 out of 10. We evaluated ORC against 113 industry peers in the Software industry. While ORC is still in line with the averages on profitability rating, there are concerns on its financial health. ORC shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
ORC had positive earnings in the past year.
ORC had a positive operating cash flow in the past year.
ORC had positive earnings in each of the past 5 years.
ORC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 6.89%, ORC is doing good in the industry, outperforming 61.06% of the companies in the same industry.
ORC's Return On Equity of 51.51% is amongst the best of the industry. ORC outperforms 92.92% of its industry peers.
With a decent Return On Invested Capital value of 9.32%, ORC is doing good in the industry, outperforming 68.14% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for ORC is below the industry average of 13.33%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.89% | ||
| ROE | 51.51% | ||
| ROIC | 9.32% |
ROA(3y)7.05%
ROA(5y)7.55%
ROE(3y)324.52%
ROE(5y)N/A
ROIC(3y)9.39%
ROIC(5y)10.19%
1.3 Margins
ORC's Profit Margin of 21.08% is fine compared to the rest of the industry. ORC outperforms 76.99% of its industry peers.
In the last couple of years the Profit Margin of ORC has declined.
The Operating Margin of ORC (31.53%) is better than 89.38% of its industry peers.
ORC's Operating Margin has declined in the last couple of years.
ORC has a Gross Margin (69.66%) which is in line with its industry peers.
In the last couple of years the Gross Margin of ORC 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 below the Cost of Capital (WACC), so ORC is destroying value.
Compared to 1 year ago, ORC has more shares outstanding
Compared to 5 years ago, ORC has less shares outstanding
Compared to 1 year ago, ORC has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.54 indicates that ORC is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of ORC (2.54) is comparable to the rest of the industry.
ORC has a Debt/Equity ratio of 3.40. This is a high value indicating a heavy dependency on external financing.
ORC's Debt to Equity ratio of 3.40 is on the low side compared to the rest of the industry. ORC is outperformed by 89.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.4 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.54 |
ROIC/WACC0.9
WACC10.38%
2.3 Liquidity
ORC has a Current Ratio of 0.62. This is a bad value and indicates that ORC is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.62, ORC is doing worse than 86.73% of the companies in the same industry.
ORC has a Quick Ratio of 0.62. This is a bad value and indicates that ORC is not financially healthy enough and could expect problems in meeting its short term obligations.
ORC has a Quick ratio of 0.62. This is amonst the worse of the industry: ORC underperforms 85.84% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.62 |
3. Growth
3.1 Past
ORC shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 5.89%.
Measured over the past years, ORC shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.22% on average per year.
Looking at the last year, ORC shows a quite strong growth in Revenue. The Revenue has grown by 9.67% in the last year.
The Revenue has been growing slightly by 8.00% on average over the past years.
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
Based on estimates for the next years, ORC will show a very strong growth in Earnings Per Share. The EPS will grow by 28.64% on average per year.
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
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 30.54, ORC can be considered very expensive at the moment.
Based on the Price/Earnings ratio, ORC is valued a bit cheaper than the industry average as 66.37% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.54. ORC is around the same levels.
Based on the Price/Forward Earnings ratio of 22.90, the valuation of ORC can be described as rather expensive.
Based on the Price/Forward Earnings ratio, ORC is valued a bit cheaper than 66.37% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.78. ORC is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.54 | ||
| Fwd PE | 22.9 |
4.2 Price Multiples
ORC's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 24.78 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ORC does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of ORC may justify a higher PE ratio.
ORC's earnings are expected to grow with 22.64% in the coming years. This may justify a more expensive valuation.
PEG (NY)2
PEG (5Y)3.31
EPS Next 2Y16.29%
EPS Next 3Y22.64%
5. Dividend
5.1 Amount
ORC has a yearly dividend return of 0.93%, which is pretty low.
The stock price of ORC dropped by -36.27% 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.
ORC's Dividend Yield is rather good when compared to the industry average which is at 2.24. ORC pays more dividend than 80.53% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.27, ORC's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.93% |
5.2 History
The dividend of ORC is nicely growing with an annual growth rate of 12.29%!
Dividend Growth(5Y)12.29%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
ORC pays out 40.62% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of ORC is growing, but earnings are growing more, so the dividend growth is sustainable.
DP40.62%
EPS Next 2Y16.29%
EPS Next 3Y22.64%
FRA:ORC (12/12/2025, 7:00:00 PM)
159.44
-3.14 (-1.93%)
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 Cap454.53B
Revenue(TTM)59.02B
Net Income(TTM)12.44B
Analysts80
Price Target290.77 (82.37%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.93% |
Yearly Dividend1.46
Dividend Growth(5Y)12.29%
DP40.62%
Div Incr Years6
Div Non Decr Years6
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)-6.28%
PT rev (3m)35.12%
EPS NQ rev (1m)-0.01%
EPS NQ rev (3m)0.97%
EPS NY rev (1m)-0.01%
EPS NY rev (3m)0.43%
Revenue NQ rev (1m)0.03%
Revenue NQ rev (3m)0.08%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)0.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.54 | ||
| Fwd PE | 22.9 | ||
| P/S | 9.02 | ||
| P/FCF | N/A | ||
| P/OCF | 24.73 | ||
| P/B | 22.04 | ||
| P/tB | N/A | ||
| EV/EBITDA | 24.78 |
EPS(TTM)5.22
EY3.27%
EPS(NY)6.96
Fwd EY4.37%
FCF(TTM)-1.76
FCFYN/A
OCF(TTM)6.45
OCFY4.04%
SpS17.67
BVpS7.23
TBVpS-12.64
PEG (NY)2
PEG (5Y)3.31
Graham Number29.15
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.89% | ||
| ROE | 51.51% | ||
| ROCE | 13.24% | ||
| ROIC | 9.32% | ||
| ROICexc | 10.11% | ||
| ROICexgc | 20.73% | ||
| 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)9.39%
ROIC(5y)10.19%
ROICexc(3y)10.33%
ROICexc(5y)13.16%
ROICexgc(3y)30.92%
ROICexgc(5y)44.24%
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 | 2.54 |
F-Score4
WACC10.38%
ROIC/WACC0.9
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 Y15.26%
EPS Next 2Y16.29%
EPS Next 3Y22.64%
EPS Next 5Y28.64%
Revenue 1Y (TTM)9.67%
Revenue growth 3Y10.59%
Revenue growth 5Y8%
Sales Q2Q%12.17%
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 / ORC.DE FAQ
Can you provide the ChartMill fundamental rating for ORACLE CORP?
ChartMill assigns a fundamental rating of 5 / 10 to ORC.DE.
Can you provide the valuation status for ORACLE CORP?
ChartMill assigns a valuation rating of 3 / 10 to ORACLE CORP (ORC.DE). This can be considered as Overvalued.
Can you provide the profitability details for ORACLE CORP?
ORACLE CORP (ORC.DE) has a profitability rating of 6 / 10.
What is the valuation of ORACLE CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ORACLE CORP (ORC.DE) is 30.54 and the Price/Book (PB) ratio is 22.04.
Can you provide the expected EPS growth for ORC stock?
The Earnings per Share (EPS) of ORACLE CORP (ORC.DE) is expected to grow by 15.26% in the next year.