Oracle: Ticket To Cloud Nine
- Oracle continues to show strength in a difficult IT spending environment.
- Oracle's FCF generation is strong and growing, unlike similar tech giants.
- I recommend buying ORCL shares in the low $40's based on cheap valuation and quality earnings.
IBM: Red Flags In Free Cash Flows
- IBM’s continued acquisitions are being overlooked as a realistic detractor from free cash flows.
- Revenue issues are well known, but the depth of their problems is being hidden by capitalizing their R&D.
- I recommend avoiding IBM shares, not disregarding the value trap warnings and searching for reasons why IBM "could work.".
- Excessive Hi-Crush Worries Provide Striking Opportunity