Oracle Corporation (ORCL)vsPegasystems Inc (PEGA)
ORCL
Oracle Corporation
$161.39
-1.49%
TECHNOLOGY · Cap: $464.17B
PEGA
Pegasystems Inc
$35.67
-0.81%
TECHNOLOGY · Cap: $5.96B
Smart Verdict
WallStSmart Research — data-driven comparison
Oracle Corporation generates 3669% more annual revenue ($64.08B vs $1.70B). ORCL leads profitability with a 25.3% profit margin vs 20.0%. ORCL appears more attractively valued with a PEG of 1.04. ORCL earns a higher WallStSmart Score of 74/100 (B).
ORCL
Strong Buy74
out of 100
Grade: B
PEGA
Hold45
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-42.4%
Fair Value
$113.34
Current Price
$161.39
$48.05 premium
Margin of Safety
+63.9%
Fair Value
$105.15
Current Price
$35.67
$69.48 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
Every $100 of equity generates 52 in profit
Conservative balance sheet, low leverage
Keeps 20 of every $100 in revenue as profit
Areas to Watch
Moderate valuation
Trading at 13.8x book value
Weak financial health signals
Negative free cash flow — burning cash
Trading at 8.5x book value
Expensive relative to growth rate
Revenue declined 9.6%
Earnings declined 60.6%
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 : PEGA
The strongest argument for PEGA centers on Return on Equity, Debt/Equity, Profit Margin. Profitability is solid with margins at 20.0% and operating margin at 8.6%.
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 : PEGA
The primary concerns for PEGA are Price/Book, PEG Ratio, Revenue Growth.
Key Dynamics to Monitor
ORCL profiles as a growth stock while PEGA is a declining 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.
PEGA generates stronger free cash flow (207M), providing more financial flexibility.
Bottom Line
ORCL scores higher overall (74/100 vs 45/100), backed by strong 25.3% margins and 21.7% revenue growth. PEGA offers better value entry with a 63.9% margin of safety. 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.
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 →Pegasystems Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Pegasystems Inc. develops, markets, licenses, hosts and supports business software applications in the United States, the rest of the Americas, the United Kingdom, the rest of Europe, the Middle East, Africa, and Asia-Pacific. The company is headquartered in Cambridge, Massachusetts.
Visit Website →Compare with Other SOFTWARE - INFRASTRUCTURE Stocks
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