Oracle (ORCL) Stock Moves -0.49%: What You Should Know
Oracle (ORCL) closed at $78.69 in the latest trading session, marking a -0.49% move from the prior day. This change was narrower than the S&P 500's daily loss of 0.85%.
Prior to today's trading, shares of the software maker had gained 0.42% over the past month. This has outpaced the Computer and Technology sector's loss of 5.05% and the S&P 500's loss of 0.41% in that time.
Investors will be hoping for strength from ORCL as it approaches its next earnings release. On that day, ORCL is projected to report earnings of $1.31 per share, which would represent year-over-year growth of 9.17%. Meanwhile, our latest consensus estimate is calling for revenue of $11.07 billion, up 6.01% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.46 per share and revenue of $40.32 billion, which would represent changes of +15.84% and +3.2%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for ORCL. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. ORCL is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, ORCL is holding a Forward P/E ratio of 17.74. For comparison, its industry has an average Forward P/E of 35.08, which means ORCL is trading at a discount to the group.
Also, we should mention that ORCL has a PEG ratio of 2.09. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Computer - Software stocks are, on average, holding a PEG ratio of 2.33 based on yesterday's closing prices.
The Computer - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 166, putting it in the bottom 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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