TSLA Commentator💀 How outrageous is this number from Oracle?
$Oracle(ORCL.US) has a backlog of $638 billion in contracts, but its market cap is only $540 billion. The order backlog already exceeds the company's entire market value.
📊 Comparison with other tech giants
This order backlog size surpasses even AMZN and $Microsoft(MSFT.US).
In other words, Oracle has more booked revenue on hand than these giants.
🎯 What does this mean?
Enterprise clients are purchasing Oracle's cloud and database services on a large scale and locking in long-term contracts for more than three years. This is extremely rare in the tech industry.
When the order backlog exceeds the market cap, it indicates the market is either severely undervaluing the company, or there is risk in executing these orders. The key going forward is to see if these orders can be delivered on schedule while maintaining profit margins.
What do you think? Is this a market pricing failure, or is there something else behind it?
The copyright of this article belongs to the original author/organization.
The views expressed herein are solely those of the author and do not reflect the stance of the platform. The content is intended for investment reference purposes only and shall not be considered as investment advice. Please contact us if you have any questions or suggestions regarding the content services provided by the platform.
