) is one of the largest software player in the world, and
competes with SAP (
), Microsoft (
) and IBM (
) in this market. After acquiring Sun Microsystems in 2010,
Oracle became a hardware player as well with products pertaining to
enterprise servers and storage hardware business. It competes
mainly with IBM and HP (
) in the hardware business. Here we will analyze the three
most important segments for Oracle and the value that each
contributes to our
$38.16 price estimate for Oracle stock
. Our price estimate stands about 20% above market price.
The 3 Most Important Product Segments for Oracle
1) Database software - represents 37% of the company's stock
Database is a data storage mechanism, which stores data
logically and physically in the form of data files. Front-end
applications access the database to display data
online. Oracle is the largest player in the database software
market with a market share of close to 50%.
See the top forecasts for database software.
2) Middleware software - 25%
Middleware is a portfolio of software products used to build and
deploy software applications. Oracle sells its suite of middleware
products under the brand name "Oracle Fusion Middleware." It acts
as an interface between front-end applications like web-based
applications-and back-end applications like the database.
See the top forecasts for middleware software.
3) Application software - 24%
Oracle applications are the applications used by enterprises for
employing cost-cutting mechanisms and increasing sales. These
include applications like customer relationship management (CRM),
enterprise resource planning (ERP) and product lifecycle management
(PLM). See the top forecasts for applications software.
See our full analysis and $38.16 price estimate
for Oracle stock