2026-06-18 10:10 UTC
Open a long position on ORCL based on strong support and potential bounce signals.
Open a long position on ORCL based on strong support and potential bounce signals.
The decision to open a long position is supported by the technical evidence of a strong support zone between 175.28 and 184.1, with high demand volume indicating potential for a bounce. The macro evidence shows strong profitability and liquidity, which supports the potential for a price recovery.
Oracle Corporation is financially stable with strong liquidity and profitability, but high leverage requires careful management.
N/A
Monitor Oracle's debt management strategies and interest rate changes that could impact its financial leverage.
Macro analysis 10 claims Open analysis Close analysis
Oracle's financial health is characterized by robust liquidity and profitability, but high leverage could impact its financial flexibility. The company's ability to generate consistent cash flow and manage its debt obligations will be crucial in maintaining its financial stability.
- Strong liquidity position with a current ratio of 1.11.
- Healthy profitability margins with gross margin at 57.85% and operating margin at 36.28%.
- High leverage with a debt-to-equity ratio of 4.01.
- High debt-to-equity ratio indicating significant leverage.
- Potential interest rate risks affecting debt servicing costs.
Evidence report 10 claims Open evidence
Oracle's gross margin is 57.85%, indicating strong profitability.
- Formula
- gross_profit_on_sales / sales_revenues * 100
- Input
- gross_profit_on_sales=11100000000.0, sales_revenues=19180000000.0
- Calculation
- 11100000000.0 / 19180000000.0 * 100
- Value
- 57.85%
Oracle's operating margin is 36.28%, reflecting efficient cost control.
- Formula
- operating_profit / sales_revenues * 100
- Input
- operating_profit=6960000000.0, sales_revenues=19180000000.0
- Calculation
- 6960000000.0 / 19180000000.0 * 100
- Value
- 36.28%
Oracle's net margin is 22.41%, showing strong profitability.
- Formula
- net_income / sales_revenues * 100
- Input
- net_income=4300000000.0, sales_revenues=19180000000.0
- Calculation
- 4300000000.0 / 19180000000.0 * 100
- Value
- 22.41%
Oracle's EBITDA margin is 49.68%, indicating strong cash flow generation.
- Formula
- ebitda / sales_revenues * 100
- Input
- ebitda=9530000000.0, sales_revenues=19180000000.0
- Calculation
- 9530000000.0 / 19180000000.0 * 100
- Value
- 49.68%
Oracle's current ratio is 1.11, indicating good liquidity.
- Formula
- current_assets / current_liabilities
- Input
- current_assets=46570000000.0, current_liabilities=41760000000.0
- Calculation
- 46570000000.0 / 41760000000.0
- Value
- 1.11
Oracle's cash-to-debt ratio is 0.29, indicating moderate liquidity risk.
- Formula
- cash_and_equivalent / debt
- Input
- cash_and_equivalent=38460000000.0, debt=134610000000.0
- Calculation
- 38460000000.0 / 134610000000.0
- Value
- 0.29
Oracle's debt-to-equity ratio is 4.01, indicating high leverage.
- Formula
- debt / equity_capital_and_reserves
- Input
- debt=134610000000.0, equity_capital_and_reserves=33540000000.0
- Calculation
- 134610000000.0 / 33540000000.0
- Value
- 4.01
Oracle's debt-to-assets ratio is 51.43%, indicating moderate leverage.
- Formula
- debt / assets * 100
- Input
- debt=134610000000.0, assets=261760000000.0
- Calculation
- 134610000000.0 / 261760000000.0 * 100
- Value
- 51.43%
Oracle's interest coverage ratio is 5.90, indicating adequate ability to cover interest expenses.
- Formula
- ebit / interest_expense_on_debt
- Input
- ebit=6960000000.0, interest_expense_on_debt=1180000000.0
- Calculation
- 6960000000.0 / 1180000000.0
- Value
- 5.90
Oracle's net cash position is -96.15B, indicating net debt.
- Formula
- cash_and_equivalent - debt
- Input
- cash_and_equivalent=38460000000.0, debt=134610000000.0
- Calculation
- 38460000000.0 - 134610000000.0
- Value
- -96.15B
Data gaps 2 Open gaps
PE does not align with stock price divided by EPS.
If EPS is directly comparable with stock price, price/EPS should be close to PE. A large mismatch may mean period mismatch, TTM vs quarterly data, or extraction inconsistency. IMPORTANT WARNINGDividend yield has ambiguous unit/format.
Yield may be a percent, fraction, or display value; without explicit unit it should not drive the thesis. USE WITH CAUTIONOracle Corporation demonstrates strong liquidity and profitability, but its high leverage requires careful management to mitigate financial risks.
Stock supportive evidence 6 Open evidence
Oracle's gross margin is 57.85%, indicating strong profitability.
A high gross margin indicates efficient production and cost management.Oracle's operating margin is 36.28%, reflecting efficient cost control.
A strong operating margin indicates effective management of operating expenses.Oracle's net margin is 22.41%, showing strong profitability.
A high net margin indicates strong overall profitability.Oracle's EBITDA margin is 49.68%, indicating strong cash flow generation.
A high EBITDA margin suggests strong cash flow generation capability.Oracle's current ratio is 1.11, indicating good liquidity.
A current ratio above 1 indicates that the company can cover its short-term liabilities.Oracle's interest coverage ratio is 5.90, indicating adequate ability to cover interest expenses.
An interest coverage ratio above 5 indicates that the company can comfortably cover its interest expenses.Stock caution evidence 3 Open caution
Oracle's debt-to-equity ratio is 4.01, indicating high leverage.
A high debt-to-equity ratio indicates significant leverage, which could pose financial risks.Oracle's cash-to-debt ratio is 0.29, indicating moderate liquidity risk.
A cash-to-debt ratio below 1 suggests that the company may face challenges in covering its debt with available cash.Oracle's net cash position is -96.15B, indicating net debt.
A negative net cash position indicates that the company has more debt than cash, which could impact financial flexibility.