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Oracle Corporation(ORCL)

F

Financial data as of May 31, 2025Declining · Technology

FCF Margin-0.7%Free Cash Flow / Revenue
Cash Conversion167.3%Operating CF / Net Income
Free Cash Flow-$394.0M
Revenue$57.4B
Net Cash-$93.3BNet debt position
Debt / FCFN/AElevated debt burden
Current Ratio0.75Tight short-term liquidity
YoY FCF Growth-273.9%1 of 5 quarters positive

How This Grade Was Calculated

Base grade from FCF margin, adjusted by financial health factors

BaseF
→
-1Current ratio below 1.0 (0.75)
→
-1Negative FCF in 3 of last 4 quarters
→
-1Significant YoY FCF decline (-273.9%)
→
-1Only 1 positive quarters recently
→
-0.5Highly volatile FCF (consistency: 1.14)
→
FinalF

Analysis Summary

Strengths

  • Excellent cash conversion (167%)

Concerns

  • Negative FCF margin (-0.7%)
  • Net debt position ($93.3B)
  • Current ratio below 1.0 — tight short-term liquidity
  • Only 1 positive FCF quarters recently
  • Significant YoY FCF decline (-273.9%)
  • Highly volatile quarterly FCF
  • Significant FCF decline (-273.9% YoY)
Heavy CapEx — Operating cash flow is strong (36% margin) but most is reinvested

Financial Breakdown

Key financials compared side by side

Margin Composition

FCF Margin-0.7%
Net Margin21.7%
Operating CF Margin36.3%
CapEx Ratio37.0%

Balance Sheet Health

Debt, liquidity, and leverage snapshot

Net Cash-$93.3BNet debt position
Debt / FCFN/AElevated debt burden
Current Ratio0.75Tight liquidity
Debt / Equity5.09High leverage

Quarterly FCF Trend

-273.9% YoYDeclining (-273.9%)

Free cash flow per quarter

Sector Comparison — Technology

FCF Margin ranked against sector peers

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Detailed Metrics

Company NameOracle Corporation
SectorTechnology
Free Cash Flow-$394.0M
Revenue$57.4B
Net Income$12.4B
Operating Cash Flow$20.8B
Capital Expenditure$21.2B
FCF Margin-0.7%
Cash Conversion Rate167.3%
Net Margin21.7%
Total Debt$104.1B
Total Cash$10.8B
Net Cash-$93.3B
Current Ratio0.75
Debt / Equity5.09
Debt / FCFN/A
YoY FCF Growth-273.9%
Positive Quarters1 of 5
Trend DirectionDeclining
Report DateMay 31, 2025
GradeF
Data SourceYahoo Finance

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