Oracle: surrounded after solid quarterly results

(CercleFinance.com) - Oracle jumps 10% on the heels of the enterprise software maker's publication of solid results for its third quarter 2023-24, driven by the dynamism of its cloud activities (infrastructure and 'as a service' applications).


Its adjusted EPS (non-GAAP) rose by 16% to $1.41, slightly beating consensus, with adjusted operating margin improving by two points to 44% on revenues up 7% to $13.3 billion.

Although management has reaffirmed its targets for fiscal 2026, this implies a CAGR of 10.5% between 2024 and 2026 (versus a target of around 7% for 2024) to reach $65 billion", notes Jefferies, which remains 'buy' on the stock.

We are constructive on the net new business signed over the past quarter, and believe that Oracle can still be one of the many beneficiaries in a multi-cloud world', adds the broker.

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