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Oracle (ORCL) Advances While Market Declines: Some Information for Investors

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Oracle (ORCL - Free Report) closed the most recent trading day at $160.31, moving +0.42% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.39%. Elsewhere, the Dow saw a downswing of 0.27%, while the tech-heavy Nasdaq depreciated by 0.38%.

Shares of the software maker witnessed a gain of 29.98% over the previous month, beating the performance of the Computer and Technology sector with its gain of 19.26% and the S&P 500's gain of 13.07%.

Analysts and investors alike will be keeping a close eye on the performance of Oracle in its upcoming earnings disclosure. The company is predicted to post an EPS of $1.64, indicating a 0.61% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $15.54 billion, showing an 8.8% escalation compared to the year-ago quarter.

For the full year, the Zacks Consensus Estimates are projecting earnings of $6.03 per share and revenue of $57.04 billion, which would represent changes of +8.45% and +7.7%, respectively, from the prior year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Oracle. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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 past month, there's been no change in the Zacks Consensus EPS estimate. At present, Oracle boasts a Zacks Rank of #4 (Sell).

From a valuation perspective, Oracle is currently exchanging hands at a Forward P/E ratio of 26.46. This expresses a discount compared to the average Forward P/E of 28.6 of its industry.

It's also important to note that ORCL currently trades at a PEG ratio of 2.74. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Computer - Software industry currently had an average PEG ratio of 2.4 as of yesterday's close.

The Computer - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 78, this industry ranks in the top 32% of all industries, numbering over 250.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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