ORACLE CORP (ORC.DE) Stock Fundamental Analysis
Europe - FRA:ORC - US68389X1054 - Common Stock
250.5 EUR
-9.25 (-3.56%)
ORC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 107 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 is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year ORC was profitable.
In the past year ORC had a positive cash flow from operations.
In the past 5 years ORC has always been profitable.
In the past 5 years ORC always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of ORC (6.89%) is better than 69.16% of its industry peers.
With an excellent Return On Equity value of 51.51%, ORC belongs to the best of the industry, outperforming 92.52% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 9.32%, ORC is in the better half of the industry, outperforming 70.09% 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 12.55%.
| 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 has a better Profit Margin (21.08%) than 80.37% 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 90.65% of its industry peers.
ORC's Operating Margin has declined in the last couple of years.
ORC's Gross Margin of 69.66% is in line compared to the rest of the industry. ORC outperforms 48.60% of 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ORC is destroying value.
Compared to 1 year ago, ORC has more shares outstanding
ORC has less shares outstanding than it did 5 years ago.
The debt/assets ratio for ORC has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.79 indicates that ORC is not in any danger for bankruptcy at the moment.
ORC has a Altman-Z score (3.79) which is in line with its industry peers.
A Debt/Equity ratio of 3.40 is on the high side and indicates that ORC has dependencies on debt financing.
The Debt to Equity ratio of ORC (3.40) is worse than 87.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.4 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.79 |
ROIC/WACC0.85
WACC10.94%
2.3 Liquidity
A Current Ratio of 0.62 indicates that ORC may have some problems paying its short term obligations.
ORC has a worse Current ratio (0.62) than 82.24% 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 81.31% 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.
ORC shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.22% yearly.
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 quite strong growth in Earnings Per Share. The EPS will grow by 19.67% on average per year.
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 48.17 indicates a quite expensive valuation of ORC.
ORC's Price/Earnings is on the same level as the industry average.
ORC is valuated expensively when we compare the Price/Earnings ratio to 27.29, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 35.34 indicates a quite expensive valuation of ORC.
ORC's Price/Forward Earnings ratio is in line with the industry average.
ORC is valuated expensively when we compare the Price/Forward Earnings ratio to 22.80, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.17 | ||
| Fwd PE | 35.34 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as ORC.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 37.71 |
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.
ORC has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as ORC's earnings are expected to grow with 19.51% in the coming years.
PEG (NY)3.26
PEG (5Y)5.23
EPS Next 2Y17.55%
EPS Next 3Y19.51%
5. Dividend
5.1 Amount
ORC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:ORC (9/25/2025, 5:29:34 PM)
250.5
-9.25 (-3.56%)
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 Cap711.85B
Analysts79.15
Price Target268.85 (7.33%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend1.45
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)30.59%
PT rev (3m)67.24%
EPS NQ rev (1m)0.85%
EPS NQ rev (3m)1.65%
EPS NY rev (1m)0%
EPS NY rev (3m)1.55%
Revenue NQ rev (1m)-0.04%
Revenue NQ rev (3m)1.76%
Revenue NY rev (1m)0.43%
Revenue NY rev (3m)2.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.17 | ||
| Fwd PE | 35.34 | ||
| P/S | 14.18 | ||
| P/FCF | N/A | ||
| P/OCF | 38.86 | ||
| P/B | 34.65 | ||
| P/tB | N/A | ||
| EV/EBITDA | 37.71 |
EPS(TTM)5.2
EY2.08%
EPS(NY)7.09
Fwd EY2.83%
FCF(TTM)-1.76
FCFYN/A
OCF(TTM)6.45
OCFY2.57%
SpS17.67
BVpS7.23
TBVpS-12.64
PEG (NY)3.26
PEG (5Y)5.23
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%
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 | 3.79 |
F-Score4
WACC10.94%
ROIC/WACC0.85
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%