ORCL – Markets expectations are for Uniform ROA to improve, but management may have concerns about growth opportunities, margins, and partnerships

• Oracle Corporation (ORCL) currently trades near corporate but above historical averages relative to Uniform earnings, with a 23.2x Uniform P/E (Fwd. V/E’).
  
• At these levels, markets are pricing in expectations for Uniform ROA to maintain current levels, accompanied by 3% Uniform asset growth.
  
• Meanwhile, if sustained going forward, analyst expectations for 29% Uniform ROA and 7% Uniform asset growth would imply a stock price closer to $105, representing approximately 10% equity upside for the firm.
  
• Moreover, the firm’s most recent earnings call suggests management is excited about revenue guidance and cloud opportunities.