Yahoo Finance Oracle (ORCL) Gains As Market Dips: What You Should Know
Oracle (ORCL) closed at $94.87 in the latest trading session, marking a +0.16% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.04%. Elsewhere, the Dow lost 0.14%, while the tech-heavy Nasdaq added 2.14%.
Coming into today, shares of the software maker had gained 1.94% in the past month. In that same time, the Computer and Technology sector gained 4.01%, while the S&P 500 gained 5.1%.
Wall Street will be looking for positivity from Oracle as it approaches its next earnings report date. On that day, Oracle is projected to report earnings of $1.58 per share, which would represent year-over-year growth of 2.6%. Our most recent consensus estimate is calling for quarterly revenue of $13.74 billion, up 16.04% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $5.04 per share and revenue of $49.86 billion. These totals would mark changes of +2.86% and +17.47%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Oracle. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Oracle is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that Oracle has a Forward P/E ratio of 18.8 right now. For comparison, its industry has an average Forward P/E of 27.47, which means Oracle is trading at a discount to the group.
Also, we should mention that ORCL has a PEG ratio of 2.35. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Computer - Software was holding an average PEG ratio of 2.15 at yesterday's closing price.
The Computer - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 114, which puts it in the top 46% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Oracle Corporation (ORCL) : Free Stock Analysis Report
