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Oracle185Oracle (ORCL) reported disappointing earnings at the end of June, with flat revenue for the second straight quarter. This time, Larry Ellison & Co. couldn’t blame the sales force like they did after missing earnings in March, and the stock has taken it on the chin ever since.

And according to Capital IQ data, Oracle hasn’t grown its revenue by more than about 3% year-over-year in a single quarter since its Q1 2012 numbers hit the market about two years ago.

Oracle insists it is ramping up sales, giving cloud players a run for their money and moving big into networking on the heels of its $1.7 billion acquisition of Acme Packet. But thus far, the efforts haven’t borne much fruit and competitors are just as hungry for growth.

With the broader headwinds facing the IT sector and the continued disappointment on the top line, investors might not want to be too patient with Oracle’s plans — especially considering a measly 1.5% dividend.

Oracle sure isn’t going bankrupt with an entrenched business and $32 billion in cash, so bottom-fishing is tempting in hopes of a turnaround. But nothing in the numbers indicates that turnaround will happen anytime soon for ORCL.

Jeff Reeves is the editor of and the author of “The Frugal Investor’s Guide to Finding Great Stocks.” Write him at or follow him on Twitter via @JeffReevesIP. As of this writing, he did not own a position in any of the stocks named here.

Article printed from InvestorPlace Media,

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