Oracle Corporation (ORCL) - Stock report

Oracle Corporation sells computing infrastructure, business applications, hardware, and the support that lets organizations build, run, and maintain their information-technology systems. Customers pay through cloud subscriptions, software licenses, and support contracts that generally last one to five years, and Oracle records the revenue as the service is delivered or used rather than all at once. Cloud and software together made up 87% of fiscal year 2026 revenue. The buyers are companies, governments, schools, and resellers, and Oracle lets each choose a cloud, on-premise, hybrid, or mixed setup.

In the fourth quarter of fiscal year 2026, Cloud Infrastructure revenue rose 93% to $5.8 billion, far faster than the 10% rise in cloud applications. This tells owners where demand is concentrated, and it also decides where the money goes, because servers, data centers, and energy must be paid for before that revenue arrives.

In fiscal year 2026 operations produced $32 billion of cash, but capital spending reached $55.7 billion, leaving issuer-reported free cash flow — the cash left after that investment — at negative $23.7 billion. The build-out is consuming more cash than operations currently generate, so Oracle currently leans on outside funding.