Stock Analysis on Net
Stock Analysis on Net

Oracle Corp. (NYSE:ORCL)

Price to FCFE (P/FCFE)

Microsoft Excel

Free Cash Flow to Equity (FCFE)

Oracle Corp., FCFE calculation

US$ in millions

Microsoft Excel
12 months ended: May 31, 2024 May 31, 2023 May 31, 2022 May 31, 2021 May 31, 2020 May 31, 2019
Net income 10,467 8,503 6,717 13,746 10,135 11,083
Noncontrolling interests in income 186 165 184 180 164 152
Net noncash charges 8,508 7,984 4,625 2,109 3,782 3,386
Changes in operating assets and liabilities, net of effects from acquisitions (488) 513 (1,987) (148) (942) (70)
Net cash provided by operating activities 18,673 17,165 9,539 15,887 13,139 14,551
Capital expenditures (6,866) (8,695) (4,511) (2,135) (1,564) (1,660)
Proceeds from issuances (repayments) of commercial paper, net (167) 500 — — — —
Proceeds from issuances of senior notes and other borrowings, net of issuance costs — 33,494 — 14,934 19,888 —
Repayments of senior notes and other borrowings (3,500) (21,050) (8,250) (2,631) (4,500) (4,500)
Free cash flow to equity (FCFE) 8,140 21,414 (3,222) 26,055 26,963 8,391

Based on: 10-K (reporting date: 2024-05-31), 10-K (reporting date: 2023-05-31), 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31).

Item Description The company
FCFE Free cash flow to equity is the cash flow available to Oracle Corp. equity holders after all operating expenses, interest, and principal payments have been paid and necessary investments in working and fixed capital have been made. Oracle Corp. FCFE increased from 2022 to 2023 but then slightly decreased from 2023 to 2024 not reaching 2022 level.

Price to FCFE Ratio, Current

Oracle Corp., current P/FCFE calculation, comparison to benchmarks

Microsoft Excel
No. shares of common stock outstanding 2,796,956,000
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions) 8,140
FCFE per share 2.91
Current share price (P) 161.03
Valuation Ratio
P/FCFE 55.33
Benchmarks
P/FCFE, Competitors1
Accenture PLC 23.37
Adobe Inc. 18.96
Cadence Design Systems Inc. 73.09
CrowdStrike Holdings Inc. 94.64
International Business Machines Corp. 12.27
Intuit Inc. 37.22
Microsoft Corp. 42.73
Palantir Technologies Inc. 234.54
Palo Alto Networks Inc. 56.22
Salesforce Inc. 40.41
ServiceNow Inc. 81.63
Synopsys Inc. 67.34
P/FCFE, Sector
Software & Services 42.83
P/FCFE, Industry
Information Technology 52.48

Based on: 10-K (reporting date: 2024-05-31).

1 Click competitor name to see calculations.

If the company P/FCFE is lower then the P/FCFE of benchmark then company is relatively undervalued.
Otherwise, if the company P/FCFE is higher then the P/FCFE of benchmark then company is relatively overvalued.

Price to FCFE Ratio, Historical

Oracle Corp., historical P/FCFE calculation, comparison to benchmarks

Microsoft Excel
May 31, 2024 May 31, 2023 May 31, 2022 May 31, 2021 May 31, 2020 May 31, 2019
No. shares of common stock outstanding1 2,755,860,000 2,714,259,000 2,664,926,000 2,792,000,000 3,068,682,000 3,335,819,000
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions)2 8,140 21,414 (3,222) 26,055 26,963 8,391
FCFE per share3 2.95 7.89 -1.21 9.33 8.79 2.52
Share price1, 4 142.91 122.04 67.68 77.99 55.12 56.12
Valuation Ratio
P/FCFE5 48.38 15.47 — 8.36 6.27 22.31
Benchmarks
P/FCFE, Competitors6
Accenture PLC 23.91 21.01 17.87 25.76 19.01 19.50
Adobe Inc. 18.02 41.83 21.32 34.26 41.36 41.90
Cadence Design Systems Inc. — 71.40 33.41 36.31 45.86 36.04
CrowdStrike Holdings Inc. 85.82 42.65 99.63 41.38 880.68 —
International Business Machines Corp. — 9.97 11.97 48.45 9.43 4.39
Intuit Inc. 38.43 38.74 13.86 86.74 17.36 34.61
Microsoft Corp. 42.11 43.32 36.73 42.54 42.74 30.77
Palantir Technologies Inc. — 74.28 96.89 198.12 — —
Palo Alto Networks Inc. 52.90 79.75 29.54 32.91 8.11 46.21
Salesforce Inc. 38.33 31.06 16.56 49.52 50.40 29.09
ServiceNow Inc. — 58.13 44.44 64.54 49.83 68.98
Synopsys Inc. 63.08 57.04 33.41 40.55 45.07 77.64
P/FCFE, Sector
Software & Services — 33.05 30.87 33.78 26.47 21.99
P/FCFE, Industry
Information Technology — 33.30 26.87 27.27 23.30 18.62

Based on: 10-K (reporting date: 2024-05-31), 10-K (reporting date: 2023-05-31), 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31).

1 Data adjusted for splits and stock dividends.

2 See details »

3 2024 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 8,140,000,000 ÷ 2,755,860,000 = 2.95

4 Closing price as at the filing date of Oracle Corp. Annual Report.

5 2024 Calculation
P/FCFE = Share price ÷ FCFE per share
= 142.91 ÷ 2.95 = 48.38

6 Click competitor name to see calculations.