Why do you think Oracle RSU are as attractive as FAAMG’s?
Feb 5, 2021
7 Comments
FAAMG like companies are still growing so I understand how their RSU and stocks are attractive. But why are people excited about Oracle RSUs?
Oracle’s revenues, operating margin, free cash flow are almost flat for a decade. It is not a growth company and your salary will also be harder to grow than any other tech company. Company is milking on it great products but above still remains same. That being said Oracle could be a fantastic company for culture, work life balance and for retiring.
You may ask me what I am doing here. I am sunk and trying to get out. I am looked upon with certain skill set which is good and bad
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One thing for sure most of the Oracle stock gains are from buybacks. You can compare Microsoft’s data. They are second in cloud share + 360 Licenses+ gaming+ linked. A lot has changed and Microsoft has grown a lot.
Microsoft, Apple, Google and Amazon products are not only B2B but also globally in people’s home. Even increasing 1 dollar ever two years brings lot of revenues.
Oracle/Salesforce/SAP are just catching up or almost mature and stopped growing organic or acquiring in new areas of core competencies. Lately no new products or acquisition in new areas. We shouldn’t compare Microsoft with Oracle because Microsoft has lot of other products and services than just MS databases and Enterprise softwares. Microsoft has grown in so many wags outside windows and Office. Xbox/Phone/Surface/VR/Cloud/ LinkedIn/ others.
Hopefully stock will go up in next few quarters when earnings with benefit from Oracle reducing cost of office buildings with new fLexible WFH policy.