Oracle Stock Still Looks Cheap - Especially for Short Put Plays

Oracle Corp (ORCL) stock still looks cheap to value buyers, given its 20x forward P/E multiple and Oracle's massive FCF generation. ORCL stock has been treading water lately, which is ideal for selling short out-of-the-money (OTM) put options.

For example, ORCL closed at $113.06 per share on Friday, Aug. 11, down just 4.1% from the end of July when it closed at $117.91. That means that traders who sell short OTM puts can collect extra income with near-term expiration plays.