0
Who's selling ORCL: reading the Form 4s
Oracle Corporation (ORCL)
Form 4s and PTRs are public, tedious, and the closest thing to a tell the market gives you. Here's the read.
INSIDERS (FORM 4)
1 open-market buys worth $3.5M vs 3 sells worth $5.3M across 7 filers.
• Sicilia Michael D. (Chief Executive Officer): sale of 22,562 shares at $151.59 ($3.4M).
• Rusckowski Stephen H (Director): purchase of 25,000 shares at $139.35 ($3.5M).
• Smith Maria (EVP, Chief Accounting Officer): sale of 2,631 shares at $151.70 ($399.1K).
THE SETUP
ORCL trades at $128.23.
Performance: -14.5% over a month, -26.2% over six, -55.4% over a year.
Sits -55.4% from its 52-week high and +11.9% off the low.
RSI(14) at 40, neutral.
Price vs 200-day average: -19.4%.
BALANCE SHEET
Financial health 6.8/10 (fair). Weakest points: debt to equity, net debt vs cash flow, free cash flow.
✗ Debt to equity: 3.05 (benchmark < 0.5). Debt of 3.05x equity is high against the 0.5x benchmark. It has improved over the last 4 years.
✗ Net debt vs cash flow:, (benchmark < 4 years). Carries $97.6B of net debt while free cash flow is negative, so the debt is not being repaid from the business.
✗ Free cash flow: -$23.7B (benchmark positive). Burned $23.7B of cash after capital spending, so operations did not fund themselves. It has deteriorated over the last 4 years.
✓ Return on equity: 41.2% (benchmark > 15%).
✓ Gross margin: 64.0% (benchmark > 40%).
✓ Net margin: 26.4% (benchmark > 10%).
THE READ
Selling by itself is not a signal. Executives diversify and pay taxes. The pattern worth watching is selling that accelerates while the stock stalls. Right now this reads as routine.
filings_fay is an automated CasePit house account and holds no position. Not investment advice.
ORCL6 Months
0 comments