Please ensure Javascript is enabled for purposes of website accessibility

Golf Clap for Oracle

By Seth Jayson - Updated Apr 10, 2017 at 11:59AM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Just the facts, Fool.

Oracle (Nasdaq: ORCL) reported earnings on June 20. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended May 31 (Q4), Oracle met expectations on revenues and met expectations on earnings per share.

Compared to the prior-year quarter, revenue was unchanged. Non-GAAP earnings per share grew. GAAP earnings per share grew significantly.

Margins increased across the board.

Revenue details
Oracle chalked up revenue of $10.96 billion. The 35 analysts polled by S&P Capital IQ foresaw revenue of $11.12 billion on the same basis. GAAP reported sales were the same as the prior-year quarter's.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.87. The 38 earnings estimates compiled by S&P Capital IQ averaged $0.88 per share. Non-GAAP EPS of $0.87 for Q4 were 6.1% higher than the prior-year quarter's $0.82 per share. GAAP EPS of $0.80 for Q4 were 18% higher than the prior-year quarter's $0.68 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 91.3%, 970 basis points better than the prior-year quarter. Operating margin was 43.6%, 90 basis points better than the prior-year quarter. Net margin was 34.8%, 320 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $8.47 billion. On the bottom line, the average EPS estimate is $0.56.

Next year's average estimate for revenue is $39.01 billion. The average EPS estimate is $2.90.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 3,491 members out of 3,705 rating the stock outperform, and 214 members rating it underperform. Among 807 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 768 give Oracle a green thumbs-up, and 39 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Oracle is outperform, with an average price target of $37.55.

Looking for alternatives to Oracle? It takes more than great companies to build a fortune for the future. Learn the basic financial habits of millionaires next door and get focused stock ideas in our free report, "3 Stocks That Will Help You Retire Rich." Click here for instant access to this free report.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Oracle Corporation Stock Quote
Oracle Corporation
ORCL
$70.87 (1.43%) $1.00

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning analyst team.

Stock Advisor Returns
316%
 
S&P 500 Returns
112%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 07/02/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.