- Oracle’s adjusted revenue for the fourth quarter stood at $15.90 billion, which marks an 11% increase year-over-year (y/y) and surpassed the estimated $15.59 billion.
- The adjusted earnings per share (EPS) rose to $1.70 compared to $1.63 y/y, exceeding the estimate of $1.64.
- Revenue from cloud services and license support reached $11.70 billion, a 14% growth y/y, overtaking the forecast of $11.57 billion.
- Income from cloud and on-premise licenses climbed to $2.01 billion, showing a 9.2% increase y/y, beating the estimated $1.83 billion.
- Hardware revenue slightly increased by 1% y/y to $850 million, surpassing the prediction of $793.8 million.
- Service revenue experienced a slight decline, recording $1.35 billion, down 1.8% y/y, just below the forecast of $1.37 billion.
- Adjusted operating income amounted to $7.04 billion, which is a 5.5% rise y/y and exceeded the estimate of $6.85 billion.
- The adjusted operating margin was 44%, compared to 47% y/y, aligning with expectations.
- Market analysts currently have 28 buy recommendations, 17 holds, and no sell recommendations for Oracle.
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Oracle Corp on Smartkarma
Analyst coverage of Oracle Corp on Smartkarma indicates a positive sentiment towards the company’s recent performance. According to Baptista Research, Oracle’s third quarter fiscal year 2025 earnings report showcased significant strategic advancements and robust financial performance. The company reported a record $48 billion addition to its backlog, indicating a 63% increase year-over-year in remaining performance obligations. This growth suggests strong demand for Oracle’s cloud services, a key positive indicator for future revenue streams.
Furthermore, Baptista Research highlighted Oracle’s strong performance in the second quarter of fiscal year 2025, driven by significant growth in their cloud services segment. Total revenue reached $14.1 billion, reflecting a 9% increase from the previous year. Non-GAAP earnings per share also saw a 10% growth year-over-year, slightly surpassing expectations despite challenging currency fluctuations. The analyst’s bullish outlook suggests that Oracle’s astonishing Software as a Service (SaaS) expansion could potentially catapult stock prices in the near future.
A look at Oracle Corp Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 2 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Analysts using Smartkarma’s Smart Scores to evaluate Oracle Corp‘s long-term outlook have rated the company positively. With strong scores in Growth and Momentum, Oracle is positioned well for future expansion and market performance. The company’s resilience score further indicates its ability to weather economic uncertainties. While Value and Dividend scores are moderate, the higher scores in Growth and Momentum suggest Oracle may outperform in the long run.
Oracle Corporation, a key player in enterprise information management, provides a range of software solutions including databases, application tools, and business applications. Operating on various computing platforms, Oracle focuses on technology innovation to meet diverse consumer needs. With its favorable Smart Scores in Growth and Momentum, Oracle appears poised for sustained success and growth in the evolving tech industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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