Oracle Japan (4716) AI Stock Analysis

• Market Cap: $2.20T
• Dividend Yield: 1.09%
• Average Volume (3M): 137.76K
• Price to Earnings (P/E): 36.1
• Beta (1Y): 0.37
• Revenue Growth: 8.31%
• EPS Growth: 8.39%
• Country: JP
• Employees: 2,257
• Sector: Technology
• Sector Strength: 78
• Industry: Software - Application
• EPS (TTM): 121.08
• Shares Outstanding: 128,303,860
• 10 Day Avg. Volume: 155,560
• 30 Day Avg. Volume: 137,763
• PEG Ratio: 16.32
• Price to Book (P/B): 8.78
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 20.43
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $15,891.78
• Price Target Upside: -6.44% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 77 Outperform
• Price Target: ―

Oracle Japan's strong financial performance, characterized by robust revenue growth and a debt-free balance sheet, is a key strength. The stock's positive technical trend further supports its attractiveness. However, a relatively high P/E ratio suggests potential overvaluation, offset by a strong dividend yield. These factors combined result in a solid but not exceptional overall stock score.

Oracle Japan Business Overview & Revenue Model

Company Description

Oracle Japan (4716) is a subsidiary of Oracle Corporation, a global leader in database software and technology, cloud-engineered systems, and enterprise software products. Oracle Japan provides a comprehensive suite of cloud-based and on-premises solutions, including database management systems, enterprise resource planning (ERP) software, customer relationship management (CRM) platforms, and supply chain management applications. The company serves a diverse range of industries, offering technologies that help businesses streamline operations, improve customer experiences, and drive digital transformation.

How the Company Makes Money

Oracle Japan generates revenue primarily through the sale of software licenses, cloud services, and hardware products. The company's revenue streams include subscription fees for its cloud services, such as Infrastructure as a Service (IaaS), Platform as a Service (PaaS), and Software as a Service (SaaS). Additionally, Oracle Japan earns from the sale of on-premises software licenses and associated support services, which provide ongoing technical support and software updates. Hardware sales, particularly engineered systems and storage products, also contribute to its revenue. Significant partnerships with other technology firms and systems integrators help expand its reach and enhance its service offerings, further contributing to its financial performance.

Oracle Japan Financial Statement Overview

Summary

Oracle Japan exhibits outstanding financial health across all key metrics. The company shows robust revenue growth, high profitability, and a very strong balance sheet with no debt. Its cash flow generation is efficient, supporting strategic investments and shareholder returns. The overall stability and growth trajectory suggest strong operational capabilities and resilience in the software application industry.

Income Statement

Oracle Japan has demonstrated consistent growth in revenue and profitability. The gross profit margin for the latest period is 46.44%, showing strong pricing power and cost management. Net profit margin at 22.73% is robust, highlighting effective control on expenses. Revenue has grown by 7.77% year-over-year, indicating a healthy expansion trajectory. EBIT and EBITDA margins are at 32.64% and 33.18% respectively, reflecting strong operational performance.

Balance Sheet

The balance sheet is extremely strong with a solid equity position and no debt, resulting in a debt-to-equity ratio of 0. Return on Equity (ROE) is impressive at 28.98%, reflecting high profitability relative to shareholder equity. The equity ratio stands at 56.38%, indicating strong financial stability and low leverage, which reduces financial risk.

Cash Flow

Cash flow performance is strong with free cash flow growing by 19.24% year-over-year. The operating cash flow to net income ratio is 1.44, indicating efficient cash generation relative to net income. The free cash flow to net income ratio is also high at 1.44, suggesting effective capital expenditure management and surplus cash generation.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
252.42B	244.54B	226.91B	214.69B	208.52B	211.35B
	Gross Profit
117.23B	113.55B	108.29B	105.55B	101.76B	102.25B
	EBIT
83.41B	79.82B	74.40B	73.21B	70.90B	68.86B
	EBITDA
84.94B	81.13B	75.72B	74.87B	72.95B	71.17B
	Net Income Common Stockholders
58.28B	55.60B	52.01B	51.18B	49.17B	47.69B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
33.04B	91.90B	104.53B	60.14B	53.96B	60.09B
	Total Assets
274.13B	340.16B	281.01B	236.87B	334.00B	294.14B
	Total Debt
0.00	0.00	0.00	0.00	0.00	0.00
	Net Debt
-33.04B	-91.90B	-104.53B	-60.14B	-53.96B	-60.09B
	Total Liabilities
138.32B	148.37B	125.16B	111.52B	114.00B	102.78B
	Stockholders Equity
135.80B	191.79B	155.85B	125.35B	220.00B	191.36B
Cash Flow		Free Cash Flow
0.00	79.84B	66.97B	52.70B	65.05B	41.60B
	Operating Cash Flow
0.00	80.34B	67.73B	53.09B	65.15B	42.31B
	Investing Cash Flow
0.00	-72.39B	-743.00M	99.83B	-50.12B	-30.58B
	Financing Cash Flow
0.00	-20.69B	-22.67B	-146.83B	-21.11B	-17.10B

Oracle Japan Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 16985.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4716, the sentiment is Positive. The current price of 16985 is above the 20-day moving average (MA) of 16903.42, above the 50-day MA of 16547.97, and above the 200-day MA of 14885.34, indicating a bullish trend. The MACD of 144.69 indicates Positive momentum. The RSI at 53.74 is Neutral, neither overbought nor oversold. The STOCH value of 64.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4716.

Oracle Japan Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4716	77 Outperform	$2.20T	36.11	36.60%	1.09%	8.31%	8.39%
6701	77 Outperform	$5.36T	30.02	8.97%	0.71%	-1.55%	17.24%
8056	76 Outperform	¥553.39B	22.01		1.67%	9.15%	8.60%
4751	76 Outperform	$752.04B	32.64	14.25%	1.08%	6.67%	114.29%
9735	74 Outperform	¥2.38T	20.59	8.55%	1.79%	3.91%	7.86%
6702	74 Outperform	$6.35T	28.68	11.70%	0.78%	-5.48%	-11.96%
Sector *	62 Neutral	$11.80B	10.08	-7.46%	2.99%	7.37%	-8.21%

Oracle Japan Corporate Events

Oracle Japan Reports Strong Q3 Performance with Increased Sales and Profits

Oracle Corporation Japan reported a strong performance in the third quarter of the fiscal year ending May 31, 2025, with significant increases in net sales and profits compared to the previous year. The company achieved a 9.1% increase in net sales and an 11.6% rise in profit for the period, reflecting its solid market positioning and effective operational strategies. Despite a decrease in total assets and net assets, Oracle Japan maintained a stable financial position, with a slight decline in the ratio of shareholders’ equity. The company has not revised its dividend outlook or forecast for the fiscal year, indicating confidence in its ongoing financial stability and growth prospects.

Oracle Japan Reports Strong Q3 Financial Performance

Oracle Corporation Japan reported a strong financial performance for the third quarter of the fiscal year ending May 31, 2025, with significant increases in net sales, operating profit, and ordinary profit compared to the previous year. The company’s robust growth reflects its effective market strategies and solidifies its position in the technology sector, although the forecast for the fiscal year remains cautious with no revisions made this quarter.