Securities Times Network News: Morningstar has released a stock analysis report on Oracle's second quarter financial report. The report points out that despite strong demand for artificial intelligence driving Oracle's cloud infrastructure revenue to increase by 52% to $2.4 billion and fulfillment obligations to increase by 50% to $97 billion, the company's performance guidance was slightly lower than expected.
Morningstar has lowered the fair value estimate of Oracle's stock to $195 per share (previously $205). Considering its three-star rating, as well as the expected 11 times enterprise value/sales and 30 times adjusted price to earnings ratio for the 2025 fiscal year, Morningstar believes that the current valuation of Oracle's stock is reasonable.