Oracle Q2: Doubling CAPEX In FY 2025, Stock Remains A 'Sell'
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Oracle Corporation is rated as a 'Sell' due to overvaluation concerns, despite strong cloud growth. The company plans to double its CAPEX in FY 2025, which may impact free cash flow. Oracle forecasts 9%-11% revenue growth and 7%-9% EPS growth for Q3.
December 10, 2024 | 11:45 pm
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Oracle is rated as a 'Sell' due to overvaluation, despite strong cloud growth. The company's plan to double CAPEX in FY 2025 could challenge free cash flow, impacting stock performance.
The article highlights Oracle's overvaluation and the potential negative impact of increased CAPEX on free cash flow. Despite strong cloud growth, these factors contribute to a 'Sell' rating, suggesting a likely short-term negative impact on the stock price.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100