Oracle Corporation (ORCL), Microsoft Corporation (MSFT): A Great Tech Giant Is On Sale

Page 2 of 2

I love Microsoft Corporation (NASDAQ:MSFT) as a company and a long-term investment, and I think it is worthy of consideration right now, despite any weaknesses. On the negative side, I think Microsoft Corporation (NASDAQ:MSFT)’s attempt at entry into the tablet computing space will be unsuccessful, as the company’s current offerings are too expensive for average consumers, and are not impressive enough to high-end consumers to discourage them from buying iPads. However, at just 9 times forward earnings, it may be worth taking a chance here. Microsoft Corporation (NASDAQ:MSFT) also has an even better-looking balance sheet than Oracle, with over $52 billion in net cash. Backing this out of the share price gives a forward P/E of just 7! That almost makes it too cheap to ignore right now.

So, What to Do about Oracle?

Oracle is a company that will thrive long-term, and it is willing and able to invest their capital as necessary to achieve their vision for the future. With the cloud computing industry still in its early stages, Oracle has the chance to position itself as a leader in what could be a tremendously lucrative business. Oracle is worthy of serious consideration, and won’t be on sale like this forever!

The article A Great Tech Giant Is On Sale originally appeared on Fool.com and is written by Matthew Frankel.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Page 2 of 2