WallStSmart

Onto Innovation Inc (ONTO)vsOracle Corporation (ORCL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Oracle Corporation generates 6274% more annual revenue ($64.08B vs $1.01B). ORCL leads profitability with a 25.3% profit margin vs 13.6%. ORCL appears more attractively valued with a PEG of 1.04. ORCL earns a higher WallStSmart Score of 74/100 (B).

ONTO

Hold

46

out of 100

Grade: D+

Growth: 3.3Profit: 6.0Value: 4.3Quality: 6.0
Piotroski: 2/9

ORCL

Strong Buy

74

out of 100

Grade: B

Growth: 8.0Profit: 9.0Value: 4.7Quality: 2.5
Piotroski: 2/9Altman Z: 0.59
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for ONTO.

ORCLSignificantly Overvalued (-42.4%)

Margin of Safety

-42.4%

Fair Value

$113.34

Current Price

$161.39

$48.05 premium

UndervaluedFair: $113.34Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ONTO1 strengths · Avg: 8.0/10
Operating MarginProfitability
20.9%8/10

Strong operational efficiency at 20.9%

ORCL6 strengths · Avg: 9.2/10
Market CapQuality
$464.17B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
57.6%10/10

Every $100 of equity generates 58 in profit

Operating MarginProfitability
32.7%10/10

Strong operational efficiency at 32.7%

Profit MarginProfitability
25.3%9/10

Keeps 25 of every $100 in revenue as profit

Revenue GrowthGrowth
21.7%8/10

Revenue surging 21.7% year-over-year

EPS GrowthGrowth
24.5%8/10

Earnings expanding 24.5% YoY

Areas to Watch

ONTO4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
1.1%4/10

1.1% revenue growth

Return on EquityProfitability
6.8%3/10

ROE of 6.8% — below average capital efficiency

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

P/E RatioValuation
101.9x2/10

Premium valuation, high expectations priced in

ORCL4 concerns · Avg: 3.3/10
P/E RatioValuation
29.0x4/10

Moderate valuation

Price/BookValuation
13.8x4/10

Trading at 13.8x book value

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Free Cash FlowQuality
$-11.48B2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : ONTO

The strongest argument for ONTO centers on Operating Margin. PEG of 1.36 suggests the stock is reasonably priced for its growth.

Bull Case : ORCL

The strongest argument for ORCL centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 25.3% and operating margin at 32.7%. Revenue growth of 21.7% demonstrates continued momentum.

Bear Case : ONTO

The primary concerns for ONTO are Revenue Growth, Return on Equity, Piotroski F-Score. A P/E of 101.9x leaves little room for execution misses.

Bear Case : ORCL

The primary concerns for ORCL are P/E Ratio, Price/Book, Piotroski F-Score. Debt-to-equity of 4.15 is elevated, increasing financial risk.

Key Dynamics to Monitor

ONTO profiles as a value stock while ORCL is a growth play — different risk/reward profiles.

ORCL carries more volatility with a beta of 1.60 — expect wider price swings.

ORCL is growing revenue faster at 21.7% — sustainability is the question.

ONTO generates stronger free cash flow (90M), providing more financial flexibility.

Bottom Line

ORCL scores higher overall (74/100 vs 46/100), backed by strong 25.3% margins and 21.7% revenue growth. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Onto Innovation Inc

TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA

Onto Innovation Inc. is dedicated to the design, development, manufacture and support of process control tools that perform macrodefect inspection and metrology, lithography systems, and process control analytical software worldwide. The company is headquartered in Wilmington, Massachusetts.

Visit Website →

Oracle Corporation

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Oracle is an American multinational computer technology corporation headquartered in Austin, Texas. The company was formerly headquartered in Redwood Shores, California until December 2020 when it moved its headquarters to Texas. The company sells database software and technology, cloud engineered systems, and enterprise software products, particularly its own brands of database management systems.

Visit Website →

Want to dig deeper into these stocks?