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Cramer: We've Witnessed a Re-rating of Oracle From Value to GrowthOriginally published June 22 at 7:09 a.m. EST
You know what? Occasionally, you have to appreciate hubris. Occasionally, you have to appreciate confidence. Today, Oracle's (ORCL) stock will appreciate precisely because management last night exuded a level of hubris and confidence that was off the charts.
I found it to be pure joy.
Obviously, the market did, too, as the stock levitated throughout the conference call and finished at its high in after-hours trading when the call was completed.
I often tell you how important the conference calls are because they are when you find out how much better or worse than expectations a company may have done, and you get the true forecast, warts and all.
Oracle's a huge company. So to see a stock go up as much as it did in after-hours stands for one thing: an on-the-fly re-rating of a company from value status to growth status. The metamorphosis is totally deserving, giving how the earnings, revenues and forecasts vastly exceeded expectations. Frankly, it was like if the company were simply a different company from the last one that reported, the numbers were that stark.
That's why I say that I didn't mind that co-CEOs Safra Catz and Mark Hurd and chairman Larry Ellison were over the top in their effusiveness of this quarter and the transition. They deserve to celebrate, they deserve the end-zone dance and I, for one, am not throwing any flags, because I think occasionally it's right to crow when you get the transition to the cloud from on-premises computing as smoothly and as fabulously as this company has done.