Between Adobe and Oracle, Which Stock Looks Set to Break Out?
Oracle fell -29% during the past Month. You may be tempted to buy more, or may want to reduce your exposure. But there is an entirely different perspective you might be missing. Is there a better alternative? Turns out, its peer Adobe gives you more. Adobe (ADBE) stock offers superior revenue growth across key periods, better profitability, and relatively lower valuation vs Oracle (ORCL) stock, suggesting you may be better off investing in ADBE
- ADBE’s Last 12 Months revenue growth was 10.7%, vs. ORCL’s 9.7%.
- In addition, its Last 3-Year Average revenue growth came in at 10.5%, ahead of ORCL’s 10.2%.
- ADBE leads on profitability over both periods – LTM margin of 36.2% and 3-year average of 35.4%.
These differences become even clearer when you look at the financials side by side. The data highlights how ORCL’s fundamentals stack up against those of ADBE on growth, margins, momentum, and valuation multiples.
Valuation & Performance Overview
| ORCL | ADBE | Preferred | |
|---|---|---|---|
| Valuation | |||
| P/EBIT Ratio | 33.7 | 16.7 | ADBE |
| Revenue Growth | |||
| Last Quarter | 12.2% | 10.7% | ORCL |
| Last 12 Months | 9.7% | 10.7% | ADBE |
| Last 3 Year Average | 10.2% | 10.5% | ADBE |
| Operating Margins | |||
| Last 12 Months | 31.6% | 36.2% | ADBE |
| Last 3 Year Average | 30.3% | 35.4% | ADBE |
| Momentum | |||
| Last 3 Year Return | 189.5% | -2.2% | ORCL |
Note: For “Last 3 Year Return” metric, preferred stock is one with higher returns unless the returns are too high (>300%) which creates risk of sell off.
See more revenue details: ORCL Revenue Comparison | ADBE Revenue Comparison
See more margin details: ORCL Operating Income Comparison | ADBE Operating Income Comparison
You can see detailed fundamentals on Buy or Sell ADBE Stock and Buy or Sell ORCL Stock and assess yourself which stock looks better. Nevertheless, individual stocks swing but a balanced asset allocation doesn’t. Trefis’ Boston-based, wealth management partner blends strategy and discipline to smooth out market noise.
Getting back to comparison, let’s check out how these two stocks have performed for investors in the last few years.
Historical Market Performance
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Total [1] | Avg | Best | |
|---|---|---|---|---|---|---|---|---|---|
| Returns | |||||||||
| ORCL Return | 24% | 37% | -5% | 31% | 60% | 35% | 359% | <=== | |
| ADBE Return | 52% | 13% | -41% | 77% | -25% | -26% | 0% | ||
| S&P 500 Return | 16% | 27% | -19% | 24% | 23% | 14% | 108% | ||
| Monthly Win Rates [3] | |||||||||
| ORCL Win Rate | 67% | 58% | 33% | 58% | 58% | 60% | 56% | ||
| ADBE Win Rate | 67% | 67% | 33% | 67% | 33% | 20% | 48% | ||
| S&P 500 Win Rate | 58% | 75% | 42% | 67% | 75% | 70% | 64% | <=== | |
| Max Drawdowns [4] | |||||||||
| ORCL Max Drawdown | -25% | -6% | -29% | 0% | -3% | -26% | -15% | ||
| ADBE Max Drawdown | -14% | -16% | -51% | -5% | -27% | -26% | -23% | ||
| S&P 500 Max Drawdown | -31% | -1% | -25% | -1% | -2% | -15% | -12% | <=== | |
[1] Cumulative total returns since the beginning of 2020
[2] 2025 data is for the year up to 11/14/2025 (YTD)
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
No matter how good the numbers, stock investment is never a smooth ride. There is a risk you must factor in. Read ADBE Dip Buyer Analyses to see how the stock has fallen and recovered in the past.
Whatever your view on either of these stocks, investing in one or two stocks remains a risky proposition. Instead, the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 — the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.