Sells database and enterprise application software, and is building out cloud infrastructure capacity for AI workloads.
Oracle (ORCL) scores 5.9 out of 10 as of , computed from its reported financial statements. That reads as solid quality. The reading rests on growth, and efficiency is what holds it back.
One pillar, solvency, is unscored because the filings behind it carry too little to judge. It is shown as a dash rather than a zero, and the overall score is the weighted average of what could be scored.
Data provided by Twelve Data. Scores are computed by Lemma Analysis from reported financials.
We cannot judge Oracle yet, because fewer than five years had both a return on capital and a cost of capital we could measure. This is not a “no”.
Quantitative signs of a moat, read from the filed statements. This is not a judgement of where it comes from (brand, network effects, switching costs). How Lemma measures a moat →
A decades-old software franchise scores well on predictability almost by construction, so the tension sits between that and solvency. Financing a data-centre buildout against contracted future revenue changes the balance sheet considerably faster than it changes the income statement. Which pillar drags is a cleaner read on the strategy than any single quarter of bookings.
Oracle (ORCL) has a Lemma Quality Score of 5.9 out of 10 as of October 16, 2026, which reads as solid quality. A solid reading is a respectable business with clear strengths and at least one area that falls short of the best in its field. Five pillars feed it, and every one of them is computed from what the company reported rather than from its share price.
Ranked with the 260 Technology companies Lemma publishes, the score sits at the 51st percentile, in the better half of its peers. A typical company in the group scores 5.9, and the best quarter starts from 6.7. Oracle is in line with that typical reading.
Profitability scores 6.1 out of 10, which reads as average. The median across 252 Technology companies is 4.6, so Oracle is well above its peers on this pillar and ranks at the 71st percentile. Profitability in the middle of the range is neither a moat nor a warning: margins and returns look like those of an ordinary business in this line of work.
There is no solvency score for Oracle: too little of the pillar could be measured from the filings to give an honest reading. The overall is therefore the weighted average of the other pillars. Across 194 Technology companies the median for this pillar is 8.0. Without it the overall says nothing about how comfortably the company carries its debt.
On growth, Oracle scores 7.6, a strong reading. Its peers have a median of 6.4 across 207 Technology companies, which places it above them, at the 65th percentile. A high growth score rewards a business that is getting bigger in a way that reaches the bottom line, not just the top one.
On efficiency, Oracle scores 2.5, a weak reading. Its peers have a median of 7.1 across 240 Technology companies, which places it well below them, at the 5th percentile. Poor conversion of assets and earnings into cash can come from heavy investment phases, and it matters whether that investment is paying off.
On predictability, Oracle scores 6.5, an average reading. Its peers have a median of 4.7 across 258 Technology companies, which places it well above them, at the 87th percentile. Consistency near the median is typical, and it is worth checking whether the swings came from the business itself or from one-off items.
This is a lopsided profile. Growth scores 7.6 but efficiency only 2.5, a gap of 5.1 points, so the overall hides a business that is excellent in one respect and weak in another. A growth lead says the business is expanding faster than it is doing anything else well, which is worth checking against predictability. An efficiency shortfall means profit is not turning into cash as readily as it could.
Closing the gap on efficiency would do the most for the overall. At the median of Technology companies, 7.1, Oracle would score about 6.8 instead of 5.9. Only four of the five pillars could be scored. Together they carry 80 of the 100 weight points (the full set is profitability 25, solvency 20, growth 20, efficiency 15, predictability 20), and the overall is the weighted average of those alone.
These are the Technology companies closest to Oracle in market value. Each has its own page scored on the same five pillars, so the comparison is like for like.
How much profit the company generates from its capital and sales.
The company’s ability to service debt and meet its obligations.
How fast revenue, earnings and cash flow are compounding.
How well assets and earnings convert into cash and output.
How stable and consistent results have been over time.
Each metric is scored from 0 to 10 against sector-aware benchmarks, where higher is better. Metrics roll up into five pillars, and the pillars combine into the overall score using the weights shown. Sector-sensitive metrics are judged relative to peers in the same sector.
This score is a systematic, backward-looking read of reported fundamentals. It does not judge valuation, management quality, competitive moat, or future prospects, and can be distorted by one-off items or unusual accounting. Treat it as a starting point, not a recommendation.
Educational only. Not investment advice.
On this reading Oracle scores 5.9 out of 10, which reads as solid quality. Its strongest pillar is growth, its weakest is efficiency. Quality is not the same as a good investment: the score says nothing about the price you would pay.
Oracle ranks at the 51st percentile of the 260 Technology companies Lemma publishes a score for. The median there is 5.9 and the top quarter starts at 6.7, against Oracle’s 5.9.
Five pillars, each scored from 0 to 10 against sector-aware benchmarks and then weighted into one overall reading: profitability, solvency, growth, efficiency and predictability. Everything comes from reported financials, and nothing comes from price, sentiment or forecasts.
This page last changed on October 16, 2026. The score moves with the financial statements, so the page changes when a new filing moves the reading rather than on a schedule. Live figures for ORCL are in the app.
No. Quality and valuation are separate questions, and a good business at the wrong price is still a bad purchase. Score the business here, then price it with a DCF you control.
Inside Lemma Analysis the same five pillars run on every company we cover, with the metrics behind each one, current fundamentals, a DCF you control and a watchlist that tells you when the price catches up.
Free to start · No credit card