Stock Analysis Report

Executive Summary

Oracle Corporation provides products and services that address enterprise information technology environments worldwide.

Snowflake Analysis

Established dividend payer with proven track record.

Similar Companies

Share Price & News

How has Oracle's share price performed over time and what events caused price changes?

Latest Share Price and Events

Stable Share Price: ORCL has not had significant price volatility in the past 3 months.

Market Performance

7 Day Return




US Software


US Market

1 Year Return




US Software


US Market

Return vs Industry: ORCL underperformed the US Software industry which returned 35.5% over the past year.

Return vs Market: ORCL underperformed the US Market which returned 17.9% over the past year.

Shareholder returns

7 Day-1.4%-2.7%-1.1%
30 Day1.1%5.4%1.4%
90 Day-3.3%13.0%6.9%
1 Year6.0%4.2%36.9%35.5%20.3%17.9%
3 Year33.1%26.7%144.6%134.3%47.8%38.3%
5 Year35.1%24.8%213.3%190.8%71.9%53.0%

Price Volatility Vs. Market

How volatile is Oracle's share price compared to the market and industry in the last 5 years?

Simply Wall St News


Is Oracle undervalued compared to its fair value and its price relative to the market?


Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: ORCL ($54.68) is trading below our estimate of fair value ($58.75)

Significantly Below Fair Value: ORCL is trading below fair value, but not by a significant amount.

Price To Earnings Ratio

PE vs Industry: ORCL is good value based on its PE Ratio (16.8x) compared to the Software industry average (49.4x).

PE vs Market: ORCL is good value based on its PE Ratio (16.8x) compared to the US market (18.2x).

Price to Earnings Growth Ratio

PEG Ratio: ORCL is poor value based on its PEG Ratio (3.5x)

Price to Book Ratio

PB vs Industry: ORCL is overvalued based on its PB Ratio (11.3x) compared to the US Software industry average (5.9x).

Next Steps

Future Growth

How is Oracle forecast to perform in the next 1 to 3 years based on estimates from 30 analysts?


Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: ORCL's forecast earnings growth (4.9% per year) is above the savings rate (1.7%).

Earnings vs Market: ORCL's earnings (4.9% per year) are forecast to grow slower than the US market (14.1% per year).

High Growth Earnings: ORCL's earnings are forecast to grow, but not significantly.

Revenue vs Market: ORCL's revenue (2.2% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: ORCL's revenue (2.2% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: ORCL's Return on Equity is forecast to be very high in 3 years time (85.3%).

Next Steps

Past Performance

How has Oracle performed over the past 5 years?


Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: ORCL has high quality earnings.

Growing Profit Margin: ORCL's current net profit margins (27.6%) are higher than last year (9.7%).

Past Earnings Growth Analysis

Earnings Trend: ORCL's earnings have declined by -4.5% per year over the past 5 years.

Accelerating Growth: ORCL's earnings growth over the past year (185.7%) exceeds its 5-year average (-4.5% per year).

Earnings vs Industry: ORCL earnings growth over the past year (185.7%) exceeded the Software industry 18.4%.

Return on Equity

High ROE: Whilst ORCL's Return on Equity (67.55%) is outstanding, this metric is skewed due to their high level of debt.

Return on Assets

Return on Capital Employed

Next Steps

Financial Health

How is Oracle's financial position?

Financial Position Analysis

Short Term Liabilities: ORCL's short term assets ($34.5B) exceed its short term liabilities ($14.6B).

Long Term Liabilities: ORCL's short term assets ($34.5B) do not cover its long term liabilities ($67.7B).

Debt to Equity History and Analysis

Debt Level: ORCL's debt to equity ratio (320.9%) is considered high.

Reducing Debt: ORCL's debt to equity ratio has increased from 66.9% to 320.9% over the past 5 years.

Debt Coverage: ORCL's debt is well covered by operating cash flow (26.6%).

Interest Coverage: ORCL's interest payments on its debt are well covered by EBIT (11.6x coverage).

Balance Sheet

Inventory Level: ORCL has a low level of unsold assets or inventory.

Debt Coverage by Assets: ORCL's debt is not covered by short term assets (assets are 0.7x debt).

Next Steps


What is Oracle's current dividend yield, its reliability and sustainability?


Current Dividend Yield

Dividend Yield vs Market


Current dividend yield vs market & industry

Notable Dividend: ORCL's dividend (1.76%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: ORCL's dividend (1.76%) is low compared to the top 25% of dividend payers in the US market (3.73%).

Stability and Growth of Payments

Stable Dividend: ORCL's dividends per share have been stable in the past 10 years.

Growing Dividend: ORCL's dividend payments have increased over the past 10 years.

Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (28%), ORCL's dividend payments are well covered by earnings.

Future Payout to Shareholders

Future Dividend Coverage: ORCL's dividends in 3 years are forecast to be well covered by earnings (21.9% payout ratio).

Next Steps


How experienced are the management team and are they aligned to shareholders interests?


Average management tenure


Safra Catz (57yo)





Ms. Safra Ada Catz has been the Chief Executive Officer of Oracle Corporation since September 17, 2014. Ms. Catz served as the President of Oracle Corporation from January 2004 to September 2014 and served ...

CEO Compensation Analysis

Compensation vs Market: Safra's total compensation ($USD965.98K) is below average for companies of similar size in the US market ($USD10.81M).

Compensation vs Earnings: Safra's compensation has been consistent with company performance over the past year.

Leadership Team

Lawrence Ellison
Co-Founder5.4yrsUS$1.66m35.5% $62.3b
Safra Catz
CEO & Director0.4yrsUS$965.98k0.035% $61.2m
Jeffrey Henley
Vice Chairman of the Board5.4yrsUS$4.21m0.057% $100.2m
Dorian Daley
Executive VP & General Counsel4.8yrsUS$8.00m0.0043% $7.6m
Edward Screven
Executive VP & Chief Corporate Architect4.8yrsUS$34.17m0.072% $126.4m
Douglas Kehring
Executive VP of Corporate Operations & Head of Corporate Development0yrsno datano data
William West
Executive VP4.8yrsno data0.0022% $3.8m
Mark Sunday
Senior VP & Chief Information Officer0yrsno datano data
Ken Bond
Senior Vice President of Investor Relations0yrsno datano data
Rupal Hollenbeck
Chief Marketing Officer1.1yrsno datano data


Average Tenure


Average Age

Experienced Management: ORCL's management team is considered experienced (4.8 years average tenure).

Board Members

Lawrence Ellison
Co-Founder5.4yrsUS$1.66m35.5% $62.3b
Safra Catz
CEO & Director0.4yrsUS$965.98k0.035% $61.2m
Jeffrey Henley
Vice Chairman of the Board5.4yrsUS$4.21m0.057% $100.2m
Bruce Chizen
Lead Independent Director0yrsUS$563.83k0.0016% $2.8m
Michael Boskin
Independent Director25.8yrsUS$691.32k0.0019% $3.3m
George Conrades
Independent Director12.1yrsUS$706.32k0.0010% $1.8m
Naomi Seligman
Independent Director14.3yrsUS$470.06k0.0014% $2.4m
Jeffrey Berg
Independent Director23yrsUS$578.83k0.0060% $10.5m
Leon Panetta
Independent Director5.1yrsUS$485.06k0.00097% $1.7m
Renée James
Director4.2yrsUS$445.06k0.0010% $1.8m


Average Tenure


Average Age

Experienced Board: ORCL's board of directors are seasoned and experienced ( 12.1 years average tenure).


Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Top Shareholders

Company Information

Oracle Corporation's company bio, employee growth, exchange listings and data sources

Key Information

  • Name: Oracle Corporation
  • Ticker: ORCL
  • Exchange: NYSE
  • Founded: 1977
  • Industry: Systems Software
  • Sector: Software
  • Market Cap: US$175.394b
  • Shares outstanding: 3.21b
  • Website: https://www.oracle.com

Number of Employees


  • Oracle Corporation
  • 500 Oracle Parkway
  • Redwood Shores
  • California
  • 94065
  • United States


TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ORCLNYSE (New York Stock Exchange)YesCommon StockUSUSDMar 1986
ORCL *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNMar 1986
ORCDB (Deutsche Boerse AG)YesCommon StockDEEURMar 1986
ORCXTRA (XETRA Trading Platform)YesCommon StockDEEURMar 1986
ORCLSNSE (Santiago Stock Exchange)YesCommon StockCLUSDMar 1986
ORCLSWX (SIX Swiss Exchange)YesCommon StockCHCHFMar 1986
ORA-UETLX (Eurotlx)YesCommon StockITEURMar 1986
ORCLWBAG (Wiener Boerse AG)YesCommon StockATEURMar 1986
ORCLBASE (Buenos Aires Stock Exchange)CEDEAR EACH REPR 1/3 USD0.01ARARSSep 2000
ORCL34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REPR 1 COM USD0.01BRBRLDec 2011


Oracle Corporation provides products and services that address enterprise information technology environments worldwide. The company’s cloud and license business engages in the sale, marketing, and delivery of its applications and infrastructure technologies through cloud and on-premise deployment models, including cloud services and license support; and cloud license and on-premise license. Its Software as a Service offerings include a suite of cloud software applications, including enterprise resource planning, human capital management, customer experience, and supply chain management, among others, as well as cloud-based industry solutions. The company also provides cloud Infrastructure as a Service; enterprise database; database products, including MySQL, Oracle TimesTen In-Memory Database, Oracle Berkeley DB, and Oracle NoSQL Database; middleware software; Java; server and storage products; hardware products and services comprising point-of-sale terminals and related hardware for managing businesses within the food and beverage, hotel and retail industries; and hardware products and services for communications networks, including network signaling, policy control and subscriber data management solutions, and session border control technology, among others. In addition, it offers operating systems, including Oracle Linux and Oracle Solaris, virtualization software, and other hardware-related software; management technologies and products, such as Oracle Enterprise Manager; and product repairs, maintenance services, and technical support services. It also serves government agencies and educational institutions. The company was founded in 1977 and is headquartered in Redwood Shores, California. 

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/23 00:34
End of Day Share Price2020/02/21 00:00
Annual Earnings2019/05/31

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.