What Is Oracle’s (ORCL) Economic Moat, and Is It Widening or Narrowing?

What happened: Oracle (NYSE:ORCL) is described as having a durable database moat but an unproven position in renting computing capacity, with the stock down sharply over six months. Key numbers: Stock closed at $129.59 on October 19. Returned -27% over six months versus 11.6% for the Insider Monkey Billionaire Index and 8.7% for the SPDR S&P 500 ETF Trust. Why it matters: The article argues the market may be questioning how much of the database moat carries into the capacity business, and says which half of revenue grows faster will show whether the moat holds. Market: +3.2% today ($133.75), -31.2% YTD, 0.3x vol — as of 15:17 UTC

Oracle (NYSE:ORCL) is described as having a durable database moat but an unproven position in renting computing capacity, with the stock down sharply over six months.

The article argues the market may be questioning how much of the database moat carries into the capacity business, and says which half of revenue grows faster will show whether the moat holds. Market: +3.2% today ($133.75), -31.2% YTD, 0.3x vol — as of 15:17 UTC