Oracle, Inc. (ORCL) has once again beaten earnings estimates, posting 54 cents per share after the bell Thursday, which topped the Zacks Consensus Estimate of 50 cents. Revenues in the quarter totaled $8.76 billion.
This marks the fourth straight quarter in which Oracle has beaten estimates, and it has done so at roughly a 10% per positive surprise clip. New software license revenue surprised to the upside in the quarter, bringing in $2.21 billion instead of the expected $2 billion. Non-GAAP operating margin was reported at 44%.
The earnings beat comes off a recent increase in the Zacks consensus, which had been steady at 47 cents per share for most of the quarter. Ahead of the earnings announcement, ORCL stock had inched up 2.3%. Upon the earnings release the stock has dipped — though some upward momentum seems to be offsetting this, especially since the announcement of Oracle upping its dividend yield from 5 cents to 6 cents per share sent the after-market buyers back into ORCL stock.
Analysts on the conference call will be listening closely to CEO Larry Ellison’s views and guidance, however, especially in light of how much Japan’s earthquake and Tsunami devastation will affect Oracle growth in the current quarter and beyond. But over the past year, Oracle has proven itself to be a steady performer. Oracle shares carry a Zacks #2 Rank (Buy), along with a longer-term Outperform recommendation.
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