Oracle fans shrug off ’soft spot’
Oracle (ORCL) sank 8% in late trading Wednesday after the business-software company posted a mixed fiscal third-quarter profit report. Earnings rose 25% from a year ago to $1.34 billion, or 26 cents a share, matching the analyst estimate. But revenue rose just 21% from a year earlier to $5.35 billion, missing the $5.42 billion target. Of particular concern was a 7% rise in applications new license growth - which is a key line even though that business accounts for less than a tenth of Oracle’s quarterly revenue.
Still, some investors are inclined to shrug off Wednesday’s after-hours selloff, preferring to focus instead on the company’s success in folding in acquisitions and diversifying its revenue streams. “The overall story at Oracle is not about one thing,” says Damon Ficklin, a research analyst at Polen Capital Management in Boca Raton, Fla. Though he’ll be listening on Wednesday afternoon’s conference call for clues about Oracle’s organic growth - the pace revenue growth of excluding recent purchases, of which there have been many - Ficklin adds that for now, “the business looks rock solid.”
Maybe Oracle will announce some fat contracts shortly and reverse the stock price up… I had seen things like that happening everyday… Oracle swallowed up a school of fish in past several years and it will take time to work it down and we will see… Maybe Oracle will be able to kick asses at IBM and Microsoft and SAP later with what it has in its wide arsenal…This is how I see it… Oracle had demostrated that it can wallop on higher earnings most of the times.. I dont think I will see the last of that… Oracle already earned over 5 billion and the peak is still over the horizon far away…
It is just another flip story because of something else that happened that caused some last minute fibbing revisions to make excuse for dropping the stock price . It is just a money game… Just dont believe the earning story now.. Just piss it off and wait until next quarter…
Mr Ficklin has a holding, and is looking to protect his investment… who is he, anyway? He’s a nobody, and so is his company. The key result was slowing revenue in a slowing economy…
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We are still ina bear market which mean that brokers are still fighting eachother over crumbs falling off the table on the floors… There is not money inflowing though many is still holding . It is just that money is not flowing in today and brokers are hungrier and looking around for crumbs on the floors and killing eachother…