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Oracle (ORCL) Gains But Lags Market: What You Should Know
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Oracle (ORCL - Free Report) closed at $101.65 in the latest trading session, marking a +0.65% move from the prior day. The stock's performance was behind the S&P 500's daily gain of 1.2%. Elsewhere, the Dow saw an upswing of 1.58%, while the tech-heavy Nasdaq appreciated by 1.16%.
Heading into today, shares of the software maker had lost 4.65% over the past month, lagging the Computer and Technology sector's loss of 3.32% and the S&P 500's loss of 3.58% in that time.
Market participants will be closely following the financial results of Oracle in its upcoming release. The company's earnings per share (EPS) are projected to be $1.32, reflecting a 9.09% increase from the same quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $13.05 billion, reflecting a 6.32% rise from the equivalent quarter last year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $5.54 per share and revenue of $53.58 billion. These totals would mark changes of +8.2% and +7.26%, respectively, from last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Oracle. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.02% higher within the past month. At present, Oracle boasts a Zacks Rank of #3 (Hold).
Investors should also note Oracle's current valuation metrics, including its Forward P/E ratio of 18.24. For comparison, its industry has an average Forward P/E of 26.27, which means Oracle is trading at a discount to the group.
Meanwhile, ORCL's PEG ratio is currently 2.08. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Computer - Software industry was having an average PEG ratio of 2.09.
The Computer - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 86, finds itself in the top 35% echelons of all 250+ industries.
The Zacks Industry Rank is ordered 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.
To follow ORCL in the coming trading sessions, be sure to utilize Zacks.com.
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Oracle (ORCL) Gains But Lags Market: What You Should Know
Oracle (ORCL - Free Report) closed at $101.65 in the latest trading session, marking a +0.65% move from the prior day. The stock's performance was behind the S&P 500's daily gain of 1.2%. Elsewhere, the Dow saw an upswing of 1.58%, while the tech-heavy Nasdaq appreciated by 1.16%.
Heading into today, shares of the software maker had lost 4.65% over the past month, lagging the Computer and Technology sector's loss of 3.32% and the S&P 500's loss of 3.58% in that time.
Market participants will be closely following the financial results of Oracle in its upcoming release. The company's earnings per share (EPS) are projected to be $1.32, reflecting a 9.09% increase from the same quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $13.05 billion, reflecting a 6.32% rise from the equivalent quarter last year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $5.54 per share and revenue of $53.58 billion. These totals would mark changes of +8.2% and +7.26%, respectively, from last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Oracle. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.02% higher within the past month. At present, Oracle boasts a Zacks Rank of #3 (Hold).
Investors should also note Oracle's current valuation metrics, including its Forward P/E ratio of 18.24. For comparison, its industry has an average Forward P/E of 26.27, which means Oracle is trading at a discount to the group.
Meanwhile, ORCL's PEG ratio is currently 2.08. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Computer - Software industry was having an average PEG ratio of 2.09.
The Computer - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 86, finds itself in the top 35% echelons of all 250+ industries.
The Zacks Industry Rank is ordered 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.
To follow ORCL in the coming trading sessions, be sure to utilize Zacks.com.