Oracle Corporation (ORCL) - NYSE
  • Tue, Jul. 12, 9:51 AM
    • Oracle (ORCL +1.4%upgraded at BMO Capital Markets to Outperform from Market perform.
    • Price target up to $47 from $45.
    • Current shares are trading around the $41.20 mark.
    • Adjustment attributed to higher operating margins, 2-3% revenue growth and forecasted operating income growth of 3.6% in 2017 and 3.9% in 2018.
    | Tue, Jul. 12, 9:51 AM
  • Mon, Jul. 11, 7:23 AM
  • Thu, Jun. 30, 8:56 PM
    • A California jury has found that Oracle (NYSE:ORCL) should pay $3B in damages to Hewlett-Packard Enterprise (NYSE:HPE) in a case involving HP's Itanium servers.
    • The jury sided with HPE’s contention that ORCL violated a contract between the companies when it decided in 2011 to stop creating new versions of its database and other software for systems running Intel's Itanium chip, a different and less successful technology branch of that company’s line of microprocessors; HPE argued that ORCL, which was expanding into servers, had set out to harm it through the move.
    • ORCL says it will appeal the verdict.
    | Thu, Jun. 30, 8:56 PM | 21 Comments
  • Wed, Jun. 29, 7:06 PM
    • Oracle (ORCL +3.6%) has priced $14B in investment-grade debt.
    • The sizable offering comes in several tranches: $4.25B in 1.9% notes due 2021, $2.5B of 2.4% notes due 2023, $3B of 2.65% notes due 2026, $1.25B of 3.85% notes due 2036, and $3B in 4% notes due 2046.
    • The company plans to use proceeds for general purposes, which it says could include buybacks, dividends debt repayment and M&A.
    • Total debt at the company at last report was just under $44B, with a debt/equity of 91.77. It's got $20.2B in cash and equivalents.
    • Underwriters are led by Citigroup Global Markets, HSBC Securities, J.P. Morgan Securities, Merrill Lynch, Pierce Fenner & Smith, and Wells Fargo Securities.
    | Wed, Jun. 29, 7:06 PM | 5 Comments
  • Mon, Jun. 20, 10:04 AM
    • Oracle ORCL has partnered with Mellanox MLNX to drive interoperability between products and jointly develop further industry standards for InfiniBand, a high speed Cloud networking technology.
    • Enhanced Data Rate 100G InfiniBand products are architecture specification release 1.3 and allow customers to deploy a 100 Gb/s fabric, compatible with the previous generations of InfiniBand-based systems (FDR, QDR, DDR, and SDR), enabling customers to protect their investments in InfiniBand-enabled applications.
    • The products enabled with Infiniband provides extreme bandwidth, ultra-low latency for fast, agile, and secure cloud infrastructure, based upon industry standards and available from multiple vendors.
    | Mon, Jun. 20, 10:04 AM
  • Thu, Jun. 16, 5:35 PM
    • Oracle (NYSE:ORCL) once more issued all of its guidance in constant currency. But this time, the company forecast forex will have "very little effect" on total revenue and EPS, with perhaps a ~1% impact on certain businesses.
    • The company expects 2%-5% Y/Y FQ1 constant currency total revenue growth vs. a consensus for 2% dollar-based growth. EPS in CC is expected to be in a range of $0.56-$0.60; consensus in dollars is $0.59. Total software/cloud revenue is expected to be up 5%-7%.
    • With strong FY16 cloud bookings set to turn into revenue, Oracle expects 65%+ FY17 (ends May 2017) SaaS/PaaS CC revenue growth, up from FY16's 52%. The company expects to exit FY17 with a SaaS/PaaS gross margin than the 56% (57% in CC) it had exiting FY16, and maintains a long-term target of 80%. Op. income is expected to rise Y/Y in CC.
    • ORCL +1.6% after hours to $39.25.
    • Oracle's FQ4 results, revenue details/financials
    | Thu, Jun. 16, 5:35 PM | 3 Comments
  • Thu, Jun. 16, 4:33 PM
    • Oracle's (NYSE:ORCL) SaaS (cloud app) and PaaS (cloud app platform) revenue rose 66% Y/Yin dollars to $690M, and 68% in constant currency. The latter figure is above guidance for 57%-61% growth. In addition, thanks to strong bookings, Oracle now expects FQ1 SaaS/PaaS CC revenue growth in the 75%-80% range; it previously forecast growth would be above 59%.
    • Strong cloud growth was once more accompanied by declining on-premise software sales: New software license revenue fell 12% Y/Y to $2.77B. Software license update/product support revenue (driven by past deals) rose 3% to $4.81B. Cloud infrastructure revenue rose 5% to $169M. Overall, on-premise software + cloud revenue was roughly flat at $8.4B and up 2% in constant currency; guidance was for 1%-2% CC growth.
    • Hardware revenue fell 9% Y/Y to $1.28B, with hardware product revenue dropping 11% (declining UNIX server sales and a weak server market). Boosting total revenue: Forex had a 1% impact on revenue growth (-1% vs. flat), less than guidance for a 2% impact.
    • Financials: SaaS/PaaS gross margin rose to 56% from 51% in FQ3, but a mix shift towards cloud revenue from higher-margin on-premise revenue still weighed on EPS. GAAP costs/expenses fell 1% Y/Y to $6.6B. $1.9B was spent on common stock repurchases.

      FY16 free cash flow totaled $12.4B, down from FY15's $12.9B. Oracle ended FQ4 with $56B in cash/investments (much of it offshore), and $44B in debt.
    • ORCL +1.7% after hours to $39.30. Earnings call at 5PM ET, guidance should be provided.
    • Oracle's FQ4 results, earnings release
    | Thu, Jun. 16, 4:33 PM | 1 Comment
  • Thu, Jun. 16, 4:14 PM
    • Oracle (NYSE:ORCL): FQ4 EPS of $0.81 misses by $0.01.
    • Revenue of $10.6B (-1.0% Y/Y) beats by $130M.
    • Shares +2.6%.
    • Press Release
    | Thu, Jun. 16, 4:14 PM
  • Wed, Jun. 1, 6:39 PM
    • A week after Oracle (NYSE:ORCL) lost its high-profile copyright fight with Google, the company may need long-term parking arrangements at the courthouse as it gets tied up in more cases.
    • The company is named in a $3B suit by the former Hewlett-Packard, which charges Oracle with damaging sales of its personal computers.
    • HP Enterprise (NYSE:HPE) claims Oracle "breached a clear contractual obligation to HP and acted in bad faith, with the intention of driving hardware sales from HP's Itanium to Oracle's Sun servers." For its part, Oracle says HP is seeking "an astonishing damages amount ... because of a press release that told the truth" about the long decline of RISC and the Itanium market.
    • The two used to be business partners but a split deepened when Oracle acquired HP rival Sun Microsystems and later hired HP ex Mark Hurd as co-president.
    • Meanwhile, a former senior finance manager is suing, saying she was terminated in reliation over complaints about accounting practices in its cloud services business. Management pushed Svetlana Blackburn to "fit square data into round holes" to make the business look better, she claims.
    • Oracle shares have fallen 2.6% in after-hours trading.
    | Wed, Jun. 1, 6:39 PM | 8 Comments
  • Thu, May 26, 4:46 PM
    • A jury has found in favor of Google (GOOG, GOOGL) in its retrial of a patent fight with Oracle (NYSE:ORCL) over Java.
    • The 10-member panel decided that Google's use of the language in its Android OS was fair use. Google had incorporated parts of Java in Android when Java was owned by Sun Microsystems, later acquired by Oracle in 2010.
    • Oracle has claimed that Google has cost billions of dollars in mobile opportunity by not paying license fees for using Java APIs.
    • It's not the end, though: "We strongly believe that Google developed Android by illegally copying core Java technology to rush into the mobile device market," an Oracle statement says. "Oracle brought this lawsuit to put a stop to Google's illegal behavior. We believe there are numerous grounds for appeal and we plan to bring this case back to the Federal Circuit on appeal."
    • For its part, Google calls it "a win for the Android ecosystem, for the Java programming community, and for software developers who rely on open and free programming languages to build innovative consumer products."
    • After hours: ORCL -0.3%; GOOG +0.1%; GOOGL +0.3%.
    | Thu, May 26, 4:46 PM | 29 Comments
  • Wed, May 11, 4:29 AM
    • The search giant faced off against Oracle (NYSE:ORCL) in a retrial on Tuesday over whether it infringed the latter's copyrights for the Java code to develop Android in 2006.
    • If the new jury rules against Google (GOOG, GOOGL) on fair use, then it will consider Oracle's $9.3B damages request.
    • Meanwhile, Russia's antitrust authorities today are expected to fine Google for misusing its Android dominance.
    • The Internet company denies any wrongdoing, but the possible penalty - up to 7% of the company’s annual revenue in Russia - comes a month after EU officials made similar allegations.
    | Wed, May 11, 4:29 AM | 17 Comments
  • Tue, May 10, 1:50 PM
    • Growth stocks have outperformed value stocks each year since 2007, but value investors are often rewarded after such periods. C.T. Fitzpatrick, the CIO of Vulcan Value Partners and the manager of Vulcan Value Partners Fund (MUTF:VVPLX), who has beaten the S&P 500 and its peers every year for the past five years gave his 4 value picks in an interview with Barron's.
    • Oracle (NYSE:ORCL) is his top pick. Oracle and SAP (NYSE:SAP), both are leaders in the big enterprise market, but Oracle is in a better position with its applications plus database products along with being ahead in converting its customers to the cloud.
    • National Oilwell Varco (NYSE:NOV) is a value pick since it generated tremendous free cash flow despite a poor quarter.
    • Anthem (NYSE:ANTM) is a new addition since its business model is well-suited for the Affordable Care Act. Fitzpatrick believes that the company's stock price doesn't reflect the fundamentals.
    • United Technologies (NYSE:UTX) gets interest as it has generated high free cash flow despite its bottom line being hurt by the strong dollar. Their accretion of cash is helping return on capital thereby making it a value pick.
    • His top 10 holdings as of Dec. 31 are Oracle, Parker Hannifin (NYSE:PH), National Oilwell Varco, Franklin Resources (NYSE:BEN), Discovery Communication (NASDAQ:DISCK), Swiss RE AG, MasterCard (NYSE:MA), Cisco Systems (NASDAQ:CSCO), Anthem and Boeing (NYSE:BA).
    | Tue, May 10, 1:50 PM | 6 Comments
  • Mon, May 2, 8:19 AM
    • Opower (NYSE:OPWR) +29.2% premarket after the provider of customer engagement and energy efficiency cloud services to utilities agrees to be acquired by Oracle (NYSE:ORCL) in a deal valued at ~$532M.
    • ORCL will pay $10.30/share in cash, representing a 30% premium to Friday's OPWR closing price.
    • ORCL says the acquisition will make it the largest provider of mission-critical cloud services to utilities.
    • Now read Oracle's right of passage has come
    | Mon, May 2, 8:19 AM
  • Thu, Apr. 28, 8:23 AM
    • Oracle (NYSE:ORCL) acquires cloud services player Textura (NYSE:TXTR) for $26 per share in a deal valued at $663M.
    • The transaction is expected to close this year after Textura shareholders tender at least two-thirds of their shares.
    • Shares of Textura are up 30.47% premarket to $25.95.
    | Thu, Apr. 28, 8:23 AM
  • Mon, Apr. 18, 12:26 PM
    • Brean recently published its most compelling investment ideas for Q2. Among them:
    • ETSY - target price $20. Implied upside 126%. "We believe Etsy’s seller services efforts (advertising, payments, and shipping) provide multiple means for the company to materially increase the value of its platform of 24.0M buyers and 1.6M sellers of handmade and vintage merchandise."
    • HRTX - target price $55. Implied upside 167%. "The FDA should finally get its act together and approve the Sustol NDA in early April. We view the almost 3-month delay as a nonissue because we do not believe that anything inherent about Sustol is causing the delay."
    • SCYX - target price $16. Implied upside 276%. "SCY-078, SCYNEXIS’ lead product candidate, has the potential to become the first glucan synthase inhibitor available both orally and intravenously... Based on the size of the market, competition from other drug candidates in development is limited, and we expect SCY-078 to compete well in the market if approved."
    • ARAY - target price $12. Implied upside 99%. "We believe the company is finally positioned to reliably grow at 2-3 times the market (which is currently posting 2-3% growth), and thus we are willing to stick our necks out and once again make this a top pick. We also see leverage in the P&L, anticipating further gross margin gains, but mostly from operating expenses, which are expected to grow at only half the rate of the top line."
    • STX - target price $65. Implied upsdoide 152%. "We believe gross margin will continue to recover as product cycle drive, along with cost savings, will lead to margin expansion back to ~28%, from 24.2% and 25.6% in the Sep Q and the Dec Q, respectively. STX dividend yield of 7%+ displays confidence in the business model and its ability to remain extremely cash-flow generative."
    • WDC - target price $120. Implied upside 191%. "We believe WDC / SNDK can generate FY17 EPS of $8.00+ and the stock “normalized” should garner at least a 12x multiple, with potential for 15x, expanding from current PE of <6x."
    • CRM - target price $100. Implied upside 30%. "In our view, salesforce.com has now replaced SAP and ORCL as the de facto standard in enterprise business applications, which positions the company for the next stage of growth... Our checks indicate large global system integrators are actively pitching salesforce.com solutions over SAP and ORCL, reflecting salesforce.com’s de facto standard status in the enterprise application market."
    • Now read How I Stopped Being A Jerk With My Money »
    | Mon, Apr. 18, 12:26 PM | 22 Comments
  • Wed, Mar. 16, 9:34 AM
    | Wed, Mar. 16, 9:34 AM
Company Description
Oracle Corp. provides enterprise software and computer hardware products and services. The company is organized into three businesses: Software and Cloud, Hardware Systems and Services. The Software and Cloud business operates through the following segments: New Software Licenses and Cloud... More
Sector: Technology
Industry: Application Software
Country: United States