Of the 33 analysts covering Oracle (ORCL), eight have given the stock “buy” ratings, while 21 have given it “holds.” Four analysts have given the stock “sell” ratings. Analysts have a consensus target price of $55.84 on the stock, which implies a potential downside of 1.6% based on its closing price of $56.77 on June 27.
In the software industry, Oracle’s market cap stands at $188.5 billion. Symantec (SYMC) and IBM (IBM) have market caps of $13.2 billion and $122.8 billion, respectively, as of June 27. Microsoft (MSFT) crossed the $1 trillion milestone in April and had touched $1.02 trillion as of June 27.
Oracle stock is currently trading at 14.6x its fiscal 2020 estimated EPS of $3.88 and 13.6x its fiscal 2021 estimated EPS of $4.17 based on its projected earnings growth rates of ~10.2% and ~7.4%, respectively, in those periods. However, Oracle’s revenues are expected to rise 2.46% in fiscal 2020 and 2.85% in fiscal 2021.
In comparison, the shares of Symantec, Microsoft, and IBM are trading at forward PE multiples of 11.7x, 26.1x, and 9.78x, respectively.