Through TheFLY's Eyes: Oracle Corp.

from Theflyonthewall.com




A Good Sign for Oracle

Oracle (ORCL), after yesterday's close, announced stronger than expected results and it appears that the improvement is sustainable. The company announced 56% organic growth in applications revenue. Siebel license revenue also came in much better than expected.

Database growth was 18% in 4Q, the strongest showing in quite some time. For the fiscal year, the company showed 10% database revenue growth. Oracle has made a whole host of acquisitions in the post-bubble environment, from large enterprise software companies to smaller companies with quality software.

Oracle is selling for about 13x calendar year 2007 earnings. This stock is way too cheap with such strong top-line growth. Institutions will have to jump back into this stock with two feet.