What to Expect From Oracle Earnings

By Chris Lange Published Sep 18, 9:35AM EDT

Oracle Corp. (NYSE: ORCL) is set to report earnings on Thursday, after the market closes. The previous earnings report played a key role in the direction of this company’s share price — unfortunately that direction was down. Oracle is hoping that this will not be a repeat performance.

Thomson Reuters has consensus estimates of $0.64 in earnings per share and $8.77 billion in revenues. This would compare to the same quarter a year ago, when it posted $0.59 in earnings per share and $8.38 billion in revenues. Estimates for the coming quarter are $0.74 in earnings per share and $9.72 billion in revenues.

Oracle recently purchased Front Porch Digital, which stores digital media for more than 500 organizations worldwide. The entities that Front Porch serves range from NASCAR all the way to the Library of Congress. Over the course of this week before earnings, the share price has moved up from this acquisition, along with news of its expanding cloud operations for Transportation Management and Global Trade Management.

Oracle said in a statement:

The combination of Oracle with Front Porch Digital is expected to create the most comprehensive enterprise-grade cloud and on-premise content storage management solution to help organizations efficiently manage the growing complexities associated with the migration, integration, storage, and delivery of rich media content.

In the weeks before the announcement, Oracle has seen its shares rise from August to September, but now despite these recent developments in the days ahead of the report, shares have fallen almost 4% from highs this month. However as earnings draw closer there is a noticeable recovery toward the monthly high. Before the earnings came out in the previous quarter, shares reached a 52-week high but quickly receded after reported earnings missed the mark.

Oracle shares closed Wednesday at $41.14. The consensus analyst price target is $44.25 and the 52-week range is $32.00 to $43.19. Oracle is trading at almost 12 times its future earnings.

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About the Author Chris Lange →

Chris Lange is a writer for 24/7 Wall St., based in Houston. He has covered financial markets over the past decade with an emphasis on healthcare, tech, and IPOs. During this time, he has published thousands of articles with insightful analysis across these complex fields. Currently, Lange's focus is on military and geopolitical topics. Lange's work has been quoted or mentioned in Forbes, The New York Times, Business Insider, USA Today, MSN, Yahoo, The Verge, Vice, The Intelligencer, Quartz, Nasdaq, The Motley Fool, Fox Business, International Business Times, The Street, Seeking Alpha, Barron’s, Benzinga, and many other major publications. A graduate of Southwestern University in Georgetown, Texas, Lange majored in business with a particular focus on investments. He has previous experience in the banking industry and startups.