Oracle's cloud backlog has surged past $664 billion, with cloud revenue now making up 60% of total sales, reflecting strong growth. However, the company reported a negative free cash flow of $5.4 billion last quarter and expects high capital expenditures and rising interest costs, raising concerns about its financial health. The CFO has not provided a timeline for when free cash flow will turn positive, causing uncertainty among investors despite analyst optimism and a potential 81% upside in price targets. The stock trades at a low multiple, but the valuation hinges on Oracle converting its backlog into cash flow and managing its balance sheet risks effectively.
Oracle Corporation trades at USD 129.63 on Pluang as of Oct 21, 2026 22:02 WIB, down 1.11% in one day. The stock's market cap stands at $397.55 billion with a dividend yield of 1.53%. Pluang order activity shows 80% selling and 20% buying, reflecting cautious investor sentiment despite the company's large cloud backlog.
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