ORACLE CORP (ORC.DE) Stock Fundamental Analysis
Europe - FRA:ORC - US68389X1054 - Common Stock
241.05 EUR
+7.85 (+3.37%)
ORC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 110 industry peers in the Software industry. There are concerns on the financial health of ORC while its profitability can be described as average. ORC is valued quite expensive, but it does show an excellent growth.
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.
Each year in the past 5 years ORC has been profitable.
Each year in the past 5 years ORC had a positive operating cash flow.
1.2 Ratios
ORC has a Return On Assets of 6.89%. This is in the better half of the industry: ORC outperforms 65.45% of its industry peers.
ORC has a better Return On Equity (51.51%) than 91.82% of its industry peers.
With a decent Return On Invested Capital value of 9.32%, ORC is doing good in the industry, outperforming 70.91% of the companies in the same industry.
ORC had an Average Return On Invested Capital over the past 3 years of 9.39%. This is below the industry average of 12.42%.
| 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
Looking at the Profit Margin, with a value of 21.08%, ORC is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
In the last couple of years the Profit Margin of ORC has declined.
ORC's Operating Margin of 31.53% is amongst the best of the industry. ORC outperforms 90.00% of its industry peers.
In the last couple of years the Operating Margin of ORC has declined.
ORC has a Gross Margin of 69.66%. This is comparable to the rest of the industry: ORC outperforms 47.27% of its industry peers.
ORC's Gross Margin has declined in the last couple of years.
| 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) below the Cost of Capital (WACC), ORC is destroying value.
The number of shares outstanding for ORC has been increased compared to 1 year ago.
The number of shares outstanding for ORC has been reduced compared to 5 years ago.
Compared to 1 year ago, ORC has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.41 indicates that ORC is not in any danger for bankruptcy at the moment.
ORC has a Altman-Z score of 3.41. This is comparable to the rest of the industry: ORC outperforms 52.73% of its industry peers.
A Debt/Equity ratio of 3.40 is on the high side and indicates that ORC has dependencies on debt 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 90.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.4 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.41 |
ROIC/WACC0.88
WACC10.57%
2.3 Liquidity
A Current Ratio of 0.62 indicates that ORC may have some problems paying its short term obligations.
ORC has a Current ratio of 0.62. This is amonst the worse of the industry: ORC underperforms 84.55% of its industry peers.
A Quick Ratio of 0.62 indicates that ORC may have some problems paying its short term obligations.
ORC's Quick ratio of 0.62 is on the low side compared to the rest of the industry. ORC is outperformed by 83.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.62 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.89% over the past year.
The Earnings Per Share has been growing by 9.22% on average over the past years. This is quite good.
ORC shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.67%.
Measured over the past years, ORC 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
Based on estimates for the next years, ORC will show a very strong growth in Earnings Per Share. The EPS will grow by 27.00% on average per year.
Based on estimates for the next years, ORC will show a very strong growth in Revenue. The Revenue will grow by 28.24% on average per year.
EPS Next Y15.15%
EPS Next 2Y16.96%
EPS Next 3Y23.7%
EPS Next 5Y27%
Revenue Next Year17.5%
Revenue Next 2Y19.83%
Revenue Next 3Y27.65%
Revenue Next 5Y28.24%
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
The Price/Earnings ratio is 45.74, which means the current valuation is very expensive for ORC.
Compared to the rest of the industry, the Price/Earnings ratio of ORC is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 27.67. ORC is valued rather expensively when compared to this.
ORC is valuated quite expensively with a Price/Forward Earnings ratio of 33.86.
ORC's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.33, ORC is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.74 | ||
| Fwd PE | 33.86 |
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 | 33.83 |
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 23.70% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.02
PEG (5Y)4.96
EPS Next 2Y16.96%
EPS Next 3Y23.7%
5. Dividend
5.1 Amount
ORC has a yearly dividend return of 0.64%, which is pretty low.
Compared to an average industry Dividend Yield of 2.80, ORC pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.64, ORC pays less dividend than the S&P500 average, which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.64% |
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 2Y16.96%
EPS Next 3Y23.7%
FRA:ORC (10/23/2025, 7:00:00 PM)
241.05
+7.85 (+3.37%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners44.58%
Inst Owner ChangeN/A
Ins Owners0.15%
Ins Owner ChangeN/A
Market Cap687.18B
Revenue(TTM)59.02B
Net Income(TTM)12.44B
Analysts81.2
Price Target295.63 (22.64%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.64% |
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)9.96%
PT rev (3m)56.42%
EPS NQ rev (1m)-0.13%
EPS NQ rev (3m)0.54%
EPS NY rev (1m)0.34%
EPS NY rev (3m)0.38%
Revenue NQ rev (1m)-0.03%
Revenue NQ rev (3m)-0.13%
Revenue NY rev (1m)0.15%
Revenue NY rev (3m)0.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.74 | ||
| Fwd PE | 33.86 | ||
| P/S | 13.49 | ||
| P/FCF | N/A | ||
| P/OCF | 36.98 | ||
| P/B | 32.97 | ||
| P/tB | N/A | ||
| EV/EBITDA | 33.83 |
EPS(TTM)5.27
EY2.19%
EPS(NY)7.12
Fwd EY2.95%
FCF(TTM)-1.78
FCFYN/A
OCF(TTM)6.52
OCFY2.7%
SpS17.87
BVpS7.31
TBVpS-12.78
PEG (NY)3.02
PEG (5Y)4.96
Graham Number29.45
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 | 3.41 |
F-Score4
WACC10.57%
ROIC/WACC0.88
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 Y15.15%
EPS Next 2Y16.96%
EPS Next 3Y23.7%
EPS Next 5Y27%
Revenue 1Y (TTM)9.67%
Revenue growth 3Y10.59%
Revenue growth 5Y8%
Sales Q2Q%12.17%
Revenue Next Year17.5%
Revenue Next 2Y19.83%
Revenue Next 3Y27.65%
Revenue Next 5Y28.24%
EBIT growth 1Y11.4%
EBIT growth 3Y4.29%
EBIT growth 5Y4.8%
EBIT Next Year47.34%
EBIT Next 3Y37.75%
EBIT Next 5Y37.03%
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%