GWRE vs. ORCL: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at GWRE and ORCL, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | GWRE | ORCL |
|---|---|---|
| Company Name | Guidewire Software, Inc. | Oracle Corporation |
| Country | United States | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry | Software | Software |
| Market Capitalization | 18.20 billion USD | 660.24 billion USD |
| Exchange | NYSE | NYSE |
| Listing Date | January 25, 2012 | March 12, 1986 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of GWRE and ORCL by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | GWRE | ORCL |
|---|---|---|
| 5-Day Price Return | 3.48% | -4.04% |
| 13-Week Price Return | 0.34% | 47.24% |
| 26-Week Price Return | -0.23% | 35.20% |
| 52-Week Price Return | 45.65% | 70.43% |
| Month-to-Date Return | -4.45% | -7.37% |
| Year-to-Date Return | 28.22% | 41.06% |
| 10-Day Avg. Volume | 0.65M | 11.01M |
| 3-Month Avg. Volume | 0.78M | 11.85M |
| 3-Month Volatility | 38.37% | 43.02% |
| Beta | 1.21 | 1.51 |
Profitability
Return on Equity (TTM)
GWRE
2.64%
Software Industry
- Max
- 59.01%
- Q3
- 21.98%
- Median
- 7.15%
- Q1
- -11.12%
- Min
- -51.24%
GWRE’s Return on Equity of 2.64% is on par with the norm for the Software industry, indicating its profitability relative to shareholder equity is typical for the sector.
ORCL
80.61%
Software Industry
- Max
- 59.01%
- Q3
- 21.98%
- Median
- 7.15%
- Q1
- -11.12%
- Min
- -51.24%
ORCL’s Return on Equity of 80.61% is exceptionally high, placing it well beyond the typical range for the Software industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.
Net Profit Margin (TTM)
GWRE
3.04%
Software Industry
- Max
- 48.14%
- Q3
- 18.23%
- Median
- 5.60%
- Q1
- -9.22%
- Min
- -49.36%
GWRE’s Net Profit Margin of 3.04% is aligned with the median group of its peers in the Software industry. This indicates its ability to convert revenue into profit is typical for the sector.
ORCL
21.68%
Software Industry
- Max
- 48.14%
- Q3
- 18.23%
- Median
- 5.60%
- Q1
- -9.22%
- Min
- -49.36%
A Net Profit Margin of 21.68% places ORCL in the upper quartile for the Software industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin (TTM)
GWRE
-2.79%
Software Industry
- Max
- 57.34%
- Q3
- 20.60%
- Median
- 7.84%
- Q1
- -8.72%
- Min
- -51.37%
GWRE has a negative Operating Profit Margin of -2.79%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.
ORCL
30.80%
Software Industry
- Max
- 57.34%
- Q3
- 20.60%
- Median
- 7.84%
- Q1
- -8.72%
- Min
- -51.37%
An Operating Profit Margin of 30.80% places ORCL in the upper quartile for the Software industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | GWRE | ORCL |
|---|---|---|
| Return on Equity (TTM) | 2.64% | 80.61% |
| Return on Assets (TTM) | 1.41% | 8.00% |
| Net Profit Margin (TTM) | 3.04% | 21.68% |
| Operating Profit Margin (TTM) | -2.79% | 30.80% |
| Gross Profit Margin (TTM) | 62.16% | 70.51% |
Financial Strength
Current Ratio (MRQ)
GWRE
3.23
Software Industry
- Max
- 3.83
- Q3
- 2.31
- Median
- 1.45
- Q1
- 1.03
- Min
- 0.24
GWRE’s Current Ratio of 3.23 is in the upper quartile for the Software industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
ORCL
0.75
Software Industry
- Max
- 3.83
- Q3
- 2.31
- Median
- 1.45
- Q1
- 1.03
- Min
- 0.24
ORCL’s Current Ratio of 0.75 falls into the lower quartile for the Software industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio (MRQ)
GWRE
0.49
Software Industry
- Max
- 2.14
- Q3
- 0.90
- Median
- 0.29
- Q1
- 0.00
- Min
- 0.00
GWRE’s Debt-to-Equity Ratio of 0.49 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
ORCL
4.53
Software Industry
- Max
- 2.14
- Q3
- 0.90
- Median
- 0.29
- Q1
- 0.00
- Min
- 0.00
With a Debt-to-Equity Ratio of 4.53, ORCL operates with exceptionally high leverage compared to the Software industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
Interest Coverage Ratio (TTM)
GWRE
-7.00
Software Industry
- Max
- 67.02
- Q3
- 19.86
- Median
- 0.70
- Q1
- -12.50
- Min
- -53.00
GWRE has a negative Interest Coverage Ratio of -7.00. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.
ORCL
4.92
Software Industry
- Max
- 67.02
- Q3
- 19.86
- Median
- 0.70
- Q1
- -12.50
- Min
- -53.00
ORCL’s Interest Coverage Ratio of 4.92 is positioned comfortably within the norm for the Software industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | GWRE | ORCL |
|---|---|---|
| Current Ratio (MRQ) | 3.23 | 0.75 |
| Quick Ratio (MRQ) | 3.04 | 0.61 |
| Debt-to-Equity Ratio (MRQ) | 0.49 | 4.53 |
| Interest Coverage Ratio (TTM) | -7.00 | 4.92 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
GWRE
0.00%
Software Industry
- Max
- 0.08%
- Q3
- 0.03%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
GWRE currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
ORCL
0.73%
Software Industry
- Max
- 0.08%
- Q3
- 0.03%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ORCL’s Dividend Yield of 0.73% is exceptionally high, placing it well above the typical range for the Software industry. While this may seem attractive, an unusually high yield can sometimes be a warning sign, reflecting a falling stock price or market concerns about the dividend’s sustainability.
Dividend Payout Ratio (TTM)
GWRE
0.00%
Software Industry
- Max
- 1.32%
- Q3
- 0.53%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
GWRE has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
ORCL
38.12%
Software Industry
- Max
- 1.32%
- Q3
- 0.53%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
At 38.12%, ORCL’s Dividend Payout Ratio is exceptionally high, exceeding the typical range for the Software industry. While this provides a significant return to shareholders, it may limit funds for reinvestment and could be difficult to sustain.
Dividend at a Glance
| Symbol | GWRE | ORCL |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.73% |
| Dividend Payout Ratio (TTM) | 0.00% | 38.12% |
Valuation
Price-to-Earnings Ratio (TTM)
GWRE
519.59
Software Industry
- Max
- 149.35
- Q3
- 100.21
- Median
- 47.97
- Q1
- 26.77
- Min
- 11.68
At 519.59, GWRE’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Software industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
ORCL
52.31
Software Industry
- Max
- 149.35
- Q3
- 100.21
- Median
- 47.97
- Q1
- 26.77
- Min
- 11.68
ORCL’s P/E Ratio of 52.31 is within the middle range for the Software industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Price-to-Sales Ratio (TTM)
GWRE
15.81
Software Industry
- Max
- 25.24
- Q3
- 13.52
- Median
- 8.15
- Q1
- 4.87
- Min
- 0.98
GWRE’s P/S Ratio of 15.81 is in the upper echelon for the Software industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
ORCL
11.34
Software Industry
- Max
- 25.24
- Q3
- 13.52
- Median
- 8.15
- Q1
- 4.87
- Min
- 0.98
ORCL’s P/S Ratio of 11.34 aligns with the market consensus for the Software industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio (MRQ)
GWRE
12.61
Software Industry
- Max
- 30.95
- Q3
- 14.91
- Median
- 7.75
- Q1
- 3.60
- Min
- 0.38
GWRE’s P/B Ratio of 12.61 is within the conventional range for the Software industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
ORCL
22.84
Software Industry
- Max
- 30.95
- Q3
- 14.91
- Median
- 7.75
- Q1
- 3.60
- Min
- 0.38
ORCL’s P/B Ratio of 22.84 is in the upper tier for the Software industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
Valuation at a Glance
| Symbol | GWRE | ORCL |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 519.59 | 52.31 |
| Price-to-Sales Ratio (TTM) | 15.81 | 11.34 |
| Price-to-Book Ratio (MRQ) | 12.61 | 22.84 |
| Price-to-Free Cash Flow Ratio (TTM) | 60.06 | 76.77 |