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Oracle (ORCL) Rises Higher Than Market: Key Facts

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In the latest market close, Oracle (ORCL - Free Report) reached $116.92, with a +1.35% movement compared to the previous day. The stock's change was more than the S&P 500's daily gain of 0.74%. Elsewhere, the Dow gained 0.58%, while the tech-heavy Nasdaq added 1.13%.

Market participants will be closely following the financial results of Oracle in its upcoming release. The company is predicted to post an EPS of $1.32, indicating a 9.09% growth compared to the equivalent quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $13.05 billion, indicating a 6.32% growth compared to the corresponding quarter of the prior year.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $5.52 per share and revenue of $53.58 billion, indicating changes of +7.81% and +7.26%, respectively, compared to the previous year.

Investors should also take note of any recent adjustments to analyst estimates for Oracle. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.46% decrease. Oracle is currently a Zacks Rank #3 (Hold).

Digging into valuation, Oracle currently has a Forward P/E ratio of 20.91. This signifies a discount in comparison to the average Forward P/E of 29.05 for its industry.

We can also see that ORCL currently has a PEG ratio of 2.38. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. By the end of yesterday's trading, the Computer - Software industry had an average PEG ratio of 2.42.

The Computer - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 61, this industry ranks in the top 25% of all industries, numbering over 250.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

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