Oracle Corporation (ORCL)vsSuper Micro Computer Inc (SMCI)
ORCL
Oracle Corporation
$180.29
+4.92%
TECHNOLOGY · Cap: $494.19B
SMCI
Super Micro Computer Inc
$27.09
-1.13%
TECHNOLOGY · Cap: $16.27B
Smart Verdict
WallStSmart Research — data-driven comparison
Oracle Corporation generates 128% more annual revenue ($64.08B vs $28.06B). ORCL leads profitability with a 25.3% profit margin vs 3.1%. SMCI appears more attractively valued with a PEG of 0.91. ORCL earns a higher WallStSmart Score of 74/100 (B).
ORCL
Strong Buy74
out of 100
Grade: B
SMCI
Strong Buy67
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-58.8%
Fair Value
$113.55
Current Price
$180.29
$66.74 premium
Margin of Safety
+85.2%
Fair Value
$216.33
Current Price
$27.09
$189.24 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 58 in profit
Strong operational efficiency at 32.7%
Keeps 25 of every $100 in revenue as profit
Revenue surging 21.7% year-over-year
Earnings expanding 24.5% YoY
Revenue surging 123.4% year-over-year
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Reasonable price relative to book value
Areas to Watch
Premium valuation, high expectations priced in
Trading at 15.4x book value
Weak financial health signals
Negative free cash flow — burning cash
3.1% margin — thin
Operating margin of 3.7%
Weak financial health signals
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull 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.
Bull Case : SMCI
The strongest argument for SMCI centers on Revenue Growth, Altman Z-Score, PEG Ratio. Revenue growth of 123.4% demonstrates continued momentum. PEG of 0.91 suggests the stock is reasonably priced for its growth.
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.
Bear Case : SMCI
The primary concerns for SMCI are Profit Margin, Operating Margin, Piotroski F-Score. Thin 3.1% margins leave little buffer for downturns.
Key Dynamics to Monitor
ORCL profiles as a growth stock while SMCI is a hypergrowth play — different risk/reward profiles.
SMCI carries more volatility with a beta of 1.63 — expect wider price swings.
SMCI is growing revenue faster at 123.4% — sustainability is the question.
SMCI generates stronger free cash flow (-45M), providing more financial flexibility.
Bottom Line
ORCL scores higher overall (74/100 vs 67/100), backed by strong 25.3% margins and 21.7% revenue growth. SMCI offers better value entry with a 85.2% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
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 →Super Micro Computer Inc
TECHNOLOGY · COMPUTER HARDWARE · USA
Super Micro Computer, Inc. develops and manufactures high-performance server and storage solutions based on an open, modular architecture. The company is headquartered in San Jose, California.
Visit Website →Compare with Other SOFTWARE - INFRASTRUCTURE Stocks
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