Oracle Valuation
| ORCL Stock | USD 140.43 3.95 2.89% |
At this time, the company appears to be undervalued. Oracle holds a recent Real Value of $165.97 per share. The prevailing price of the company is $140.43. Our model determines the value of Oracle from analyzing the company fundamentals such as Shares Outstanding of 2.87 B, return on equity of 0.69, and Operating Margin of 0.32 % as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Oracle's valuation include:
Price Book 14.0744 | Enterprise Value | Enterprise Value Ebitda 18.5615 | Price Sales 6.4287 | Forward PE 18.315 |
Undervalued
Today
Please note that Oracle's price fluctuation is very steady at this time. Calculation of the real value of Oracle is based on 3 months time horizon. Increasing Oracle's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Oracle stock is determined by what a typical buyer is willing to pay for full or partial control of Oracle. Since Oracle is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Oracle Stock. However, Oracle's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 140.43 | Real 165.97 | Target 276.3 | Hype 133.28 | Naive 122.04 |
The intrinsic value of Oracle's stock can be calculated using various methods such as discounted cash flow or dividend analysis. That value may differ from its market price, which is determined by factors such as investor sentiment, market trends, headlines, and other external factors that may influence Oracle's stock price.
Estimating the potential upside or downside of Oracle helps investors to forecast how Oracle stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Oracle more accurately as focusing exclusively on Oracle's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Oracle's intrinsic value based on its ongoing forecasts of Oracle's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Oracle's closest peers.
Oracle Cash |
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Oracle Revenue by Product
Oracle Total Value Analysis
Oracle is now forecasted to have valuation of 526.16 B with market capitalization of 392.26 B, debt of 104.1 B, and cash on hands of 21.38 B. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Oracle fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
526.16 B | 392.26 B | 104.1 B | 21.38 B |
Oracle Investor Information
About 41.0% of the company outstanding shares are owned by corporate insiders. The company has Price/Earnings To Growth (PEG) ratio of 1.15. Oracle recorded earning per share (EPS) of 5.32. The entity last dividend was issued on the 9th of January 2026. The firm had 2:1 split on the 13th of October 2000. Based on the measurements of operating efficiency obtained from Oracle's historical financial statements, Oracle may be sliding down financialy. It has an above-average chance of going through some form of financial crunch next quarter.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Operating Profit Margin | 0.23 | 0.28 |
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| Total Cash From Operating Activities | 25.1 B | 23.9 B |
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| Operating Income | 21.3 B | 20.3 B |
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Oracle Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Oracle has an asset utilization ratio of 34.09 percent. This suggests that the Company is making $0.34 for each dollar of assets. An increasing asset utilization means that Oracle is more efficient with each dollar of assets it utilizes for everyday operations.Oracle Profitability Analysis
Based on the measurements of profitability obtained from Oracle's financial statements, Oracle's profitability may be sliding down. It has an above-average chance of reporting lower numbers next quarter. Profitability indicators assess Oracle's ability to earn profits and add value for shareholders.Net Income | First Reported 1985-08-31 | Previous Quarter 2.9 B | Current Value 6.1 B | Quarterly Volatility 1.4 B |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Gross Profit Margin | 0.87 | 0.81 |
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| Net Profit Margin | 0.16 | 0.2 |
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| Operating Profit Margin | 0.23 | 0.28 |
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| Pretax Profit Margin | 0.23 | 0.22 |
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| Return On Assets | 0.14 | 0.085 |
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For Oracle profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Oracle to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Oracle utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Oracle's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Oracle over time as well as its relative position and ranking within its peers.
Oracle Earnings per Share Projection vs Actual
The next projected EPS of Oracle is estimated to be 1.72 with future projections ranging from a low of 1.59 to a high of 1.77. Oracle's most recent 12-month trailing earnings per share (EPS TTM) is at 5.32. Please be aware that the consensus of earnings estimates for Oracle is based on EPS before non-recurring items and includes expenses related to employee stock options.Oracle Earnings Estimation Breakdown
The calculation of Oracle's earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Oracle is estimated to be 1.72 with the future projection ranging from a low of 1.59 to a high of 1.77. Please be aware that this consensus of annual earnings estimates for Oracle is based on EPS before non-recurring items and includes expenses related to employee stock options.Last Reported EPS
1.59 Lowest | Expected EPS | 1.77 Highest |
Oracle Earnings Projection Consensus
Suppose the current estimates of Oracle's value are higher than the current market price of the Oracle stock. In this case, investors may conclude that Oracle is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Oracle's stock will quickly adjusts to the new information provided by the consensus estimate.
| Number of Analysts | Historical Accuracy | Last Reported EPS | Estimated EPS for 28th of February 2026 | Current EPS (TTM) | |
| 41 | 95.23% | 2.26 | 1.72 | 5.32 |
Oracle Ownership Allocation
Oracle owns a total of 2.87 Billion outstanding shares. Oracle has significant amount of outstanding shares owned by insiders. An insider is usually defined as a CEO, other corporate executive, director, or institutional investor who own at least 10% of the company's outstanding shares. On January 13, 2026, Representative Gilbert Cisneros of US Congress acquired under $15k worth of Oracle's common stock.Oracle Profitability Analysis
The company reported the previous year's revenue of 57.4 B. Net Income was 12.44 B with profit before overhead, payroll, taxes, and interest of 41.82 B.Oracle Past Distributions to stockholders
About Oracle Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Oracle. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Oracle based exclusively on its fundamental and basic technical indicators. By analyzing Oracle's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Oracle's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Oracle. We calculate exposure to Oracle's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Oracle's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 46.5 B | 48.9 B | |
| Pretax Profit Margin | 0.22 | 0.23 | |
| Operating Profit Margin | 0.28 | 0.23 | |
| Net Profit Margin | 0.20 | 0.16 | |
| Gross Profit Margin | 0.81 | 0.87 |
A single share of Oracle represents a small ownership stake in the entity. As a stockholder of Oracle, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Oracle Dividends Analysis For Valuation
Dividends Paid is expected to rise to about 5.7 B this year, although the value of Dividend Yield will most likely fall to 0.01. . At this time, Oracle's Earnings Yield is quite stable compared to the past year. Price Earnings To Growth Ratio is expected to rise to 2.06 this year, although the value of Retained Earnings are projected to rise to (13.2 B).
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 5.5 B | 5.7 B | |
| Dividend Yield | 0.01 | 0.01 | |
| Dividend Payout Ratio | 0.34 | 0.22 | |
| Dividend Paid And Capex Coverage Ratio | 0.92 | 0.88 |
There are various types of dividends Oracle can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Oracle shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Oracle directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Oracle pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Oracle by the value of the dividends paid out.
Oracle Growth Indicators
Investing in growth stocks can be very risky. If the company such as Oracle does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 2.9 B | |
| Quarterly Earnings Growth Y O Y | 0.909 | |
| Forward Price Earnings | 18.315 |
Oracle Current Valuation Indicators
Oracle's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Oracle's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Oracle, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Oracle's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Oracle's worth.When determining whether Oracle is a strong investment it is important to analyze Oracle's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Oracle's future performance. For an informed investment choice regarding Oracle Stock, refer to the following important reports: Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Oracle. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in private. For more information on how to buy Oracle Stock please use our How to buy in Oracle Stock guide.You can also try the Portfolio Suggestion module to get suggestions outside of your existing asset allocation including your own model portfolios.
Is Systems Software space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Oracle. Anticipated expansion of Oracle directly elevates investor willingness to pay premium valuations. The financial industry is built on trying to define current growth potential and future valuation accurately. Comprehensive Oracle assessment requires weighing all these inputs, though not all factors influence outcomes equally.
Quarterly Earnings Growth 0.909 | Dividend Share 2 | Earnings Share 5.32 | Revenue Per Share | Quarterly Revenue Growth 0.142 |
Understanding Oracle requires distinguishing between market price and book value, where the latter reflects Oracle's accounting equity. The concept of intrinsic value - what Oracle's is actually worth based on fundamentals - guides informed investors toward better entry and exit points. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Market sentiment, economic cycles, and investor behavior can push Oracle's price substantially above or below its fundamental value.
It's important to distinguish between Oracle's intrinsic value and market price, which are calculated using different methodologies. Investment decisions regarding Oracle should consider multiple factors including financial performance, growth metrics, competitive position, and professional analysis. In contrast, Oracle's trading price reflects the actual exchange value where willing buyers and sellers reach mutual agreement.