Oracle Corp
Exchange: NYSESector: TechnologyIndustry: Software - Infrastructure
Oracle's distributed cloud delivers the benefits of cloud with greater control and flexibility. Oracle's distributed cloud lineup includes: Public cloud: Hyperscale public cloud regions serve any size of organization, including those requiring strict EU sovereignty controls. See the full list of regions here. Dedicated cloud: Customers can run all OCI cloud services in their own data centers with OCI Dedicated Region, while partners can resell OCI cloud services and customize the experience using Oracle Alloy. Oracle also operates separate US, UK, and Australian Government Clouds, and Isolated Cloud Regions for national security purposes. Each of these products provides a full cloud and AI stack that customers can deploy as a Sovereign Cloud. Hybrid cloud: OCI delivers key cloud services on-premises via Oracle Exadata Cloud@Customer and is already managing deployments in over 60 countries. Multicloud: OCI is physically deployed within all the cloud providers, including AWS, Google Cloud, and Microsoft Azure, providing low latency, natively integrated Oracle AI Database services, including Oracle AI Database@AWS, Oracle AI Database@Azure, Oracle AI Database@Google Cloud; and Oracle HeatWave on AWS and Microsoft Azure. In addition, Oracle Interconnect for Microsoft Azure, Oracle Interconnect for Google Cloud, and the upcoming connection between OCI and AWS Interconnect–multicloud allow customers to seamlessly combine key capabilities from across clouds. About Oracle Oracle offers integrated suites of applications plus secure, autonomous infrastructure in the Oracle Cloud. Oracle offers integrated suites of applications plus secure, autonomous infrastructure in the Oracle Cloud.
Did you know?
Pays a 0.88% dividend yield.
Current Price
$187.50
+3.49%GoodMoat Value
$102.40
45.4% overvaluedProfile
Valuation (TTM)
Market Cap$538.71B
P/E33.28
EV$557.42B
P/B26.34
Shares Out2.87B
P/Sales8.41
Revenue$64.08B
EV/EBITDA21.32
Oracle Corp (ORCL) Stock Analysis
GoodMoat Analysis
Oracle is a mature software infrastructure giant with a strong competitive moat, but its current valuation appears significantly above its estimated fair value. The business shows high profitability and a dominant market position, yet its negative free cash flow and high debt warrant caution.
Read full analysis
Oracle provides database, cloud infrastructure, and enterprise application software, serving as a critical backbone for many large organizations. Applying the GoodMoat framework, the company exhibits a strong moat, likely scoring high on Switching Costs (mission-critical software with high migration costs), Proprietary Data (from its vast installed base), and Niche Dominance in database software. Its high ROE of 79.3% and operating margin of 30.8% are indicative of a quality business with pricing power. However, the Quality Indicators present a mixed picture: while profitability is strong, the negative FCF Yield of -0.1% and a Debt/Equity ratio of 5.09 are significant weaknesses. The Decision Framework suggests proceeding to valuation analysis given the likely strong moat, but the valuation gate is a major hurdle. The current price of $143.45 is approximately 40% above the GoodMoat Target of $102.40, indicating an unfavourable margin of safety. For a value investor, this discrepancy between a strong business and a full-to-expensive price is central. Further investigation should focus on the sustainability of its cloud growth, the timeline for a return to robust free cash flow generation, and the management of its substantial debt load relative to its earnings.
Market Cap$538.71B
Current Price$187.50
P/E Ratio33.28
Forward P/E—
PEG Ratio1.46
EPS$4.34
Book Value$7.12
P/B Ratio26.34
ORCL Financial Charts
FCF vs CAPEX
FCFCAPEX
Cash vs Debt
Net Debt: 93.3B
Revenue
39.5B
FY19
39.1B
FY20
40.5B
FY21
42.4B
FY22
50.0B
FY23
53.0B
FY24
57.4B
FY25
Net Income
11.1B
FY19
10.1B
FY20
13.7B
FY21
6.7B
FY22
8.5B
FY23
10.5B
FY24
12.4B
FY25
ORCL 52-Week Range
$130.10
$325.77
50-Day MA: $153.34200-Day MA: $213.32
Did you know?
Profit margin of 25.3% — that's well above average.
Oracle Corp (ORCL) Financial Summary
Oracle Corp (ORCL) is a Technology company in the Software - Infrastructure industry, listed on NYSE. The stock currently trades at $187.50 with a market capitalization of $538.71B.
Key valuation metrics include a P/E ratio of 33.28, price-to-book ratio of 26.34, and EPS of $4.34. The company reports a profit margin of 25.3% and return on equity of 79.3%.
ORCL Key Financial Metrics
| Metric | Value |
|---|---|
| Market Cap | $538.71B |
| P/E Ratio | 33.28 |
| EPS | $4.34 |
| P/B Ratio | 26.34 |
| P/S Ratio | 8.41 |
| EV/EBITDA | 21.32 |
| Dividend Yield | 0.88% |
| Profit Margin | 25.3% |
| Return on Equity | 79.3% |
| Debt/Equity | 5.09 |
ORCL Revenue & Earnings History
| Year | Revenue | Net Income |
|---|---|---|
| FY19 | $39.51B | $11.08B |
| FY20 | $39.07B | $10.13B |
| FY21 | $40.48B | $13.75B |
| FY22 | $42.44B | $6.72B |
| FY23 | $49.95B | $8.50B |
| FY24 | $52.96B | $10.47B |
| FY25 | $57.40B | $12.44B |
Oracle Corp (ORCL) Valuation
Based on GoodMoat's DCF model, Oracle Corp has a fair value estimate of $102.40. At the current price of $187.50, the stock appears 83.1% overvalued relative to our intrinsic value estimate.
ORCL Quality Indicators
Oracle Corp maintains a profit margin of 25.3% and an operating margin of 30.8%. Return on equity stands at 79.3%. The current ratio is 0.75. Debt-to-equity ratio is 5.09.
About Oracle Corp
Oracle's distributed cloud delivers the benefits of cloud with greater control and flexibility. Oracle's distributed cloud lineup includes: Public cloud: Hyperscale public cloud regions serve any size of organization, including those requiring strict EU sovereignty controls. See the full list of regions here. Dedicated cloud: Customers can run all OCI cloud services in their own data centers with OCI Dedicated Region, while partners can resell OCI cloud services and customize the experience using Oracle Alloy. Oracle also operates separate US, UK, and Australian Government Clouds, and Isolated Cloud Regions for national security purposes. Each of these products provides a full cloud and AI stack that customers can deploy as a Sovereign Cloud. Hybrid cloud: OCI delivers key cloud services on-premises via Oracle Exadata Cloud@Customer and is already managing deployments in over 60 countries. Multicloud: OCI is physically deployed within all the cloud providers, including AWS, Google Cloud, and Microsoft Azure, providing low latency, natively integrated Oracle AI Database services, including Oracle AI Database@AWS, Oracle AI Database@Azure, Oracle AI Database@Google Cloud; and Oracle HeatWave on AWS and Microsoft Azure. In addition, Oracle Interconnect for Microsoft Azure, Oracle Interconnect for Google Cloud, and the upcoming connection between OCI and AWS Interconnect–multicloud allow customers to seamlessly combine key capabilities from across clouds. About Oracle Oracle offers integrated suites of applications plus secure, autonomous infrastructure in the Oracle Cloud. Oracle offers integrated suites of applications plus secure, autonomous infrastructure in the Oracle Cloud.
ORCL Free Cash Flow
Oracle Corp generated $-394.00M in trailing twelve-month free cash flow, representing an FCF yield of -0.07%. This low FCF yield may reflect heavy reinvestment or growth spending.
ORCL Shares Outstanding
Oracle Corp has 2.87 billion shares outstanding at a share price of $187.50, giving it a market capitalization of $538.71B.
ORCL Recent Insider Trades
Recent insider transactions at Oracle Corp include:
| Insider | Type | Shares | Value |
|---|---|---|---|
| Levey Stuart (EVP, Chief Legal Officer) | SELL | 15,000 | $2.64M |
| Magouyrk Clayton M. (Chief Executive Officer) | SELL | 10,000 | $1.55M |
| KEHRING DOUGLAS A (EVP, Principal Financial Offcr) | SELL | 35,000 | $6.82M |