Price to Operating Profit (P/OP)
since 2005
Calculation
Oracle Corp., P/OP, long-term trends, calculation
| P/OP | = | Share price1, 2, 3 | ÷ | Operating profit per share1 | Operating profit per share1 | = | Operating income1 (in millions) |
÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Jun 18, 2025 | 33.50 | = | 210.87 | ÷ | 6.29 | 6.29 | = | 17,678 | ÷ | 2,808,833,000 | |
| Jun 20, 2024 | 25.65 | = | 142.91 | ÷ | 5.57 | 5.57 | = | 15,353 | ÷ | 2,755,860,000 | |
| Jun 20, 2023 | 25.30 | = | 122.04 | ÷ | 4.82 | 4.82 | = | 13,093 | ÷ | 2,714,259,000 | |
| Jun 21, 2022 | 16.51 | = | 67.68 | ÷ | 4.10 | 4.10 | = | 10,926 | ÷ | 2,664,926,000 | |
| Jun 21, 2021 | 14.31 | = | 77.99 | ÷ | 5.45 | 5.45 | = | 15,213 | ÷ | 2,792,000,000 | |
| Jun 22, 2020 | 12.17 | = | 55.12 | ÷ | 4.53 | 4.53 | = | 13,896 | ÷ | 3,068,682,000 | |
| Jun 21, 2019 | 13.83 | = | 56.12 | ÷ | 4.06 | 4.06 | = | 13,535 | ÷ | 3,335,819,000 | |
| Jun 22, 2018 | 12.83 | = | 44.10 | ÷ | 3.44 | 3.44 | = | 13,679 | ÷ | 3,981,155,000 | |
| Jun 27, 2017 | 16.52 | = | 50.75 | ÷ | 3.07 | 3.07 | = | 12,710 | ÷ | 4,136,682,000 | |
| Jun 22, 2016 | 13.09 | = | 40.01 | ÷ | 3.06 | 3.06 | = | 12,604 | ÷ | 4,122,730,000 | |
| Jun 25, 2015 | 12.84 | = | 41.06 | ÷ | 3.20 | 3.20 | = | 13,871 | ÷ | 4,336,077,000 | |
| Jun 26, 2014 | 12.12 | = | 40.15 | ÷ | 3.31 | 3.31 | = | 14,759 | ÷ | 4,454,889,000 | |
| Jun 26, 2013 | 9.51 | = | 30.14 | ÷ | 3.17 | 3.17 | = | 14,684 | ÷ | 4,630,807,000 | |
| Jun 26, 2012 | 9.91 | = | 27.83 | ÷ | 2.81 | 2.81 | = | 13,706 | ÷ | 4,882,506,000 | |
| Jun 28, 2011 | 13.61 | = | 32.34 | ÷ | 2.38 | 2.38 | = | 12,033 | ÷ | 5,065,515,000 | |
| Jul 1, 2010 | 11.95 | = | 21.55 | ÷ | 1.80 | 1.80 | = | 9,062 | ÷ | 5,026,247,000 | |
| Jun 29, 2009 | 12.94 | = | 21.50 | ÷ | 1.66 | 1.66 | = | 8,321 | ÷ | 5,007,230,000 | |
| Jul 2, 2008 | 13.68 | = | 20.82 | ÷ | 1.52 | 1.52 | = | 7,844 | ÷ | 5,155,842,000 | |
| Jun 29, 2007 | 16.87 | = | 19.71 | ÷ | 1.17 | 1.17 | = | 5,974 | ÷ | 5,113,035,975 | |
| Jul 21, 2006 | 16.72 | = | 15.12 | ÷ | 0.90 | 0.90 | = | 4,736 | ÷ | 5,238,329,303 | |
| Jul 1, 2005 | 17.01 | = | 13.29 | ÷ | 0.78 | 0.78 | = | 4,022 | ÷ | 5,146,713,889 |
Based on: 10-K (reporting date: 2025-05-31), 10-K (reporting date: 2024-05-31), 10-K (reporting date: 2023-05-31), 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31), 10-K (reporting date: 2018-05-31), 10-K (reporting date: 2017-05-31), 10-K (reporting date: 2016-05-31), 10-K (reporting date: 2015-05-31), 10-K (reporting date: 2014-05-31), 10-K (reporting date: 2013-05-31), 10-K (reporting date: 2012-05-31), 10-K (reporting date: 2011-05-31), 10-K (reporting date: 2010-05-31), 10-K (reporting date: 2009-05-31), 10-K (reporting date: 2008-05-31), 10-K (reporting date: 2007-05-31), 10-K (reporting date: 2006-05-31), 10-K (reporting date: 2005-05-31).
1 US$
2 Data adjusted for splits and stock dividends.
3 Closing price as at the filing date of Oracle Corp. Annual Report.
The analysis of the financial data reveals several notable trends regarding the share price, operating profit per share, and the price-to-operating-profit (P/OP) ratio over the period from 2005 to 2025.
- Share Price
- The share price demonstrated a general upward trend across the analyzed years, beginning at $13.29 in 2005 and reaching $210.87 by 2025. Despite some fluctuations, including moderate declines or plateaus in years such as 2012 and 2018, the overall trajectory has been significantly positive. The increase accelerated after 2018, particularly between 2022 and 2025, where the share price rose sharply from $67.68 to $210.87.
- Operating Profit Per Share
- Operating profit per share showed consistent growth throughout the period, increasing from $0.78 in 2005 to $6.29 in 2025. The growth was steady with only minor slowdowns, such as the slight dip in 2016 compared to the previous year. This suggests an improvement in the company's operating efficiency and profitability on a per-share basis over the long term.
- Price-to-Operating-Profit (P/OP) Ratio
- The P/OP ratio displayed considerable variability over the two decades studied. Initially, the ratio declined from 17.01 in 2005 to a low near 9.51 in 2013, indicating that the share price was becoming more closely aligned or cheaper relative to operating profit per share during this period. However, from 2013 onward, the ratio started increasing again, reaching a notably high level of 33.5 by 2025. This suggests that the market valuation grew at a faster pace than operating profit in recent years, potentially reflecting heightened investor optimism or expectations for future growth beyond current operating profits.
- Overall Observations
- The combined trends illustrate a company experiencing sustained improvements in operating profitability alongside a substantial increase in market valuation. The increasing P/OP ratio in later years could indicate a shift towards investor expectations of growth or changes in market sentiment. It is also notable that the sharp increase in share price post-2022 outpaces the growth in operating profit per share, emphasizing a potential change in valuation dynamics.
Comparison to Competitors
Oracle Corp., P/OP, long-term trends, comparison to competitors
| Oracle Corp. | Accenture PLC | Adobe Inc. | Cadence Design Systems Inc. | CrowdStrike Holdings Inc. | Fair Isaac Corp. | Intuit Inc. | Microsoft Corp. | Palantir Technologies Inc. | Palo Alto Networks Inc. | Salesforce Inc. | ServiceNow Inc. | Synopsys Inc. | Workday Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Jun 18, 2025 | 33.50 | — | — | — | — | — | — | — | — | — | 38.94 | — | — | 155.71 |
| Jun 20, 2024 | 25.65 | 23.52 | 26.38 | 52.42 | — | 69.38 | 48.11 | 28.73 | 941.61 | 159.88 | 58.80 | 152.95 | 56.25 | 381.31 |
| Jun 20, 2023 | 25.30 | 21.69 | 40.52 | 65.43 | — | 36.15 | 49.04 | 27.76 | 431.61 | 193.40 | 177.62 | 206.26 | 67.90 | — |
| Jun 21, 2022 | 16.51 | 16.83 | 25.85 | 47.21 | — | 20.43 | 46.05 | 24.72 | — | — | 357.52 | 260.26 | 43.85 | — |
| Jun 21, 2021 | 14.31 | 28.35 | 40.64 | 48.13 | — | 21.03 | 62.00 | 30.79 | — | — | 431.39 | 436.46 | 75.64 | — |
| Jun 22, 2020 | 12.17 | 22.21 | 51.75 | 57.54 | — | 45.39 | 41.56 | 29.30 | — | — | 511.08 | 583.07 | 59.90 | — |
| Jun 21, 2019 | 13.83 | 18.63 | 51.63 | 40.67 | — | 37.88 | 40.45 | 24.54 | — | — | 223.46 | 1,590.30 | 40.48 | — |
| Jun 22, 2018 | 12.83 | 16.75 | 42.06 | 40.66 | — | 27.54 | 37.92 | 23.63 | — | — | 395.31 | — | 35.54 | — |
| Jun 27, 2017 | 16.52 | 19.47 | 44.86 | 35.08 | — | 26.02 | 25.94 | 24.93 | — | — | 908.77 | — | 37.64 | — |
| Jun 22, 2016 | 13.09 | 15.44 | 36.62 | 33.61 | — | 20.65 | 23.33 | 21.70 | — | — | 411.51 | — | 28.34 | — |
| Jun 25, 2015 | 12.84 | 15.66 | 49.21 | 22.23 | — | 19.70 | 31.60 | 20.57 | — | — | — | — | 25.82 | — |
| Jun 26, 2014 | 12.12 | 11.94 | 86.32 | 26.17 | — | 14.03 | 18.25 | 12.81 | — | — | — | — | 26.04 | — |
| Jun 26, 2013 | 9.51 | 11.50 | 71.49 | 22.85 | — | 12.14 | 15.12 | 9.91 | — | — | — | — | 24.81 | — |
| Jun 26, 2012 | 9.91 | 11.84 | 16.04 | 18.94 | — | 8.54 | 15.05 | 11.23 | — | 1,147.44 | — | — | 25.46 | — |
| Jun 28, 2011 | 13.61 | 11.55 | 14.01 | 26.88 | — | 9.63 | 14.19 | 8.55 | — | — | 166.46 | — | 18.21 | — |
| Jul 1, 2010 | 11.95 | 10.76 | 17.20 | — | — | 8.28 | 16.51 | 9.27 | — | — | 83.25 | — | 22.01 | — |
| Jun 29, 2009 | 12.94 | 10.49 | 26.10 | — | — | 8.01 | 13.11 | 10.42 | — | — | 59.54 | — | 15.18 | — |
| Jul 2, 2008 | 13.68 | 7.72 | 10.04 | — | — | 5.38 | 15.15 | 10.44 | — | — | 350.81 | — | 11.75 | — |
| Jun 29, 2007 | 16.87 | 12.16 | 22.98 | 9.72 | — | 12.78 | 15.13 | 56.63 | — | — | — | — | 32.49 | — |
| Jul 21, 2006 | 16.72 | 14.25 | 41.03 | 26.13 | — | 15.70 | 20.38 | 48.35 | — | — | 214.74 | — | 131.87 | — |
| Jul 1, 2005 | 17.01 | 10.72 | 31.95 | 43.13 | — | 14.80 | 15.31 | 59.14 | — | — | 233.65 | — | — | — |
Based on: 10-K (reporting date: 2025-05-31), 10-K (reporting date: 2024-05-31), 10-K (reporting date: 2023-05-31), 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31), 10-K (reporting date: 2018-05-31), 10-K (reporting date: 2017-05-31), 10-K (reporting date: 2016-05-31), 10-K (reporting date: 2015-05-31), 10-K (reporting date: 2014-05-31), 10-K (reporting date: 2013-05-31), 10-K (reporting date: 2012-05-31), 10-K (reporting date: 2011-05-31), 10-K (reporting date: 2010-05-31), 10-K (reporting date: 2009-05-31), 10-K (reporting date: 2008-05-31), 10-K (reporting date: 2007-05-31), 10-K (reporting date: 2006-05-31), 10-K (reporting date: 2005-05-31).