Oracle launches Investigation Hub Cloud Service to aid institutions and banks in faster, more precise investigations

From Nasdaq: 2024-10-09 09:54:00

Oracle introduced the Oracle Financial Services Crime and Compliance Management’s Investigation Hub Cloud Service. This AI-integrated solution will aid tier-one institutions and banks to perform faster and precise investigations, cost-effectively integrating AI and reducing manual tasks.

The Investigation Hub automates tasks, provides data-rich insights, and streamlines workflows using graph analytics and AI, reducing investigation touch time by up to 70%. Oracle’s latest solution is configurable to fit the institution and investigation team’s needs, enhancing efficiency and scalability.

Oracle’s shares have returned 65.4% YTD, outperforming the Computer and Technology sector’s appreciation of 22.3%. In fiscal 2024, revenues increased 6% over fiscal 2023 to $53 billion, with cloud revenues jumping 24% year over year to $19.7 billion. Oracle credits strong top-line growth to its datacenter business.

Oracle’s cloud is driving top-line growth, with a multicloud agreement with AWS, Microsoft Azure, and Google Cloud to make OCI and Oracle available on their clouds. The partnership is expected to go live in December 2024, offering clients the latest ORCL technology within every Hyperscaler’s cloud.

For the second quarter of fiscal 2025, Oracle expects non-GAAP earnings between $1.42 and $1.46 per share, with total revenues growing at 7-9% in constant currency. Earnings estimate revisions indicate growth trends, with earnings expected to grow by 10.45% year over year and revenues by 9.14%.

Oracle shares are overvalued at the moment, trading at 32.25X forward P/E ratio compared to the sector’s 26.21X. Higher spending on product enhancements toward the cloud amid increased competition raises concerns. With a Zacks Rank #3 (Hold), it’s advisable for investors to wait for a more favorable entry point to accumulate the stock.



Read more at Nasdaq: Oracle Launches Investigation Hub: How Should You Play the Stock?