Fastly vs Oracle Which Is a Smarter Choice?

Fastly and Oracle are both tech companies specializing in cloud-based services and solutions. Fastly, a content delivery network provider known for its high performance and security features, has seen rapid growth in recent years as businesses increasingly rely on digital services. On the other hand, Oracle, a multinational computer technology corporation, offers a wide range of products including database software and cloud computing services. Both companies have experienced fluctuations in their stock prices, making them intriguing options for investors looking to capitalize on the fast-paced tech industry.

Fastly or Oracle?

When comparing Fastly and Oracle, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Fastly and Oracle.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Fastly has a dividend yield of -%, while Oracle has a dividend yield of 0.83%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Fastly reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Oracle reports a 5-year dividend growth of 14.87% year and a payout ratio of 40.11%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Fastly P/E ratio at -10.22 and Oracle's P/E ratio at 48.22. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Fastly P/B ratio is 1.57 while Oracle's P/B ratio is 48.93.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Fastly has seen a 5-year revenue growth of 1.15%, while Oracle's is 0.92%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Fastly's ROE at -15.15% and Oracle's ROE at 148.73%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $10.00 for Fastly and $186.43 for Oracle. Over the past year, Fastly's prices ranged from $5.52 to $25.87, with a yearly change of 368.66%. Oracle's prices fluctuated between $99.26 and $196.04, with a yearly change of 97.50%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.