ORCL FCF Yield Analysis
Higher than 0% of TECHNOLOGY sector peers
Updated 197h ago·SEC filings & market data
Key Takeaway
ORCL’s current Free Cash Flow (FCF) Yield of -6.9% means the company is generating negative free cash flow relative to its share price — essentially, it is burning cash rather than producing surplus cash for shareholders.
Sector Performance
0th percentileORCL
-6.9%
Sector Median
1.3%
Sector Avg
2.3%
Prior Period
-5.5%(Jul 2026)
Deep Analysis
ORCL’s current Free Cash Flow (FCF) Yield of -6.9% means the company is generating negative free cash flow relative to its share price — essentially, it is burning cash rather than producing surplus cash for shareholders.
This sits well below the TECHNOLOGY sector median of 1.4%, placing ORCL at the 0th percentile among its peers, meaning nearly every other company in the sector has a higher (or less negative) FCF Yield. The trend is decreasing over the last eight quarters, with a quarter-over-quarter decline of -25.5% (year-over-year change is not available). The combination of a deeply negative FCF Yield and a worsening trend implies elevated investment risk, as the company’s cash generation is deteriorating and may require external financing or asset sales. This metric contradicts the overall NEUTRAL verdict because a negative and declining FCF Yield typically signals financial strain, whereas a neutral rating suggests balanced risk.
Frequently Asked Questions
What does the FCF Yield tell investors about ORCL?
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
How is the FCF Yield calculated?
FCF Yield is calculated as: Free Cash Flow / Market Cap.
How does ORCL's FCF Yield compare to its sector?
ORCL's FCF Yield of -6.9% compares to a TECHNOLOGY sector median of 1.3%, placing it in the 0th percentile.
Who are ORCL's closest peers by FCF Yield?
The closest TECHNOLOGY peers by FCF Yield include: KLAC (1.3%), LRCX (1.2%), HPE (1.0%), TXN (1.0%), MRVL (0.6%).
Learn More About FCF Yield
Understanding Free Cash Flow
Free cash flow is the lifeblood of any business. In this post, we explore why it matters more than net income for long-term investors.
Free Cash Flow Yield: Why It Matters More Than Earnings Per Share
EPS is accounting. FCF is reality. Here's how to calculate free cash flow yield, why Warren Buffett prioritizes it, and how to use it to spot genuinely profitable companies.
The Formula
Free Cash Flow / Market Cap
Why It Matters
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
Master ORCL's Valuation
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-6.9%
Sector Median
1.3%
Sector Avg
2.3%
How ORCL's FCF Yield compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.