A Bear's Face on Mars Blake Lively's New Role Recognizing a Stroke Data Privacy Day Easy Chocolate Cake Recipe Peacock Discount Dead Space Remake Mental Health Exercises
Want CNET to notify you of price drops and the latest stories?
No, thank you

Oracle snaps up software firm for $8.7 million

Oracle Corp. (Nasdaq: ORCL) shares fell 1 1/2 to 57 15/16 Tuesday after announcing it will buy data management software company Carleton Corp. (Nasdaq: CARL) for $8.7 million.

Carleton shares were off 17/64 to 2 9/32.

Oracle said it will pay the Minnetonka, Minn.-based company about $2.45 a share in cash, once Carleton's shareholders approve the deal.

Carleton's software, which helps improve the quality of information found in databases, will become part of Oracle Warehouse Builder, a framework which designs and generates data warehouses and e-business applications.

In its latest quarter, Carleton lost $2.3 million, or 69 cents a share, on sales of $1.1 million.

Oracle met analysts' estimates in its first quarter, earning $237 million, or 16 cents a share, on sales of $2 billion.

However, some analysts were disappointed by its less-than-stellar revenue growth.

Second quarter sales increased 13 percent to $2 billion from $1.7 billion in the year ago period, when Oracle earned $195 million, or 13 cents per share. But software license and other revenue increased just 9 percent year-over-year, less than the 14 percent growth predicted by analyst consensus.

Oracle shares marched up to a 52-week high of 61 3/8 earlier this month after trading at a low of 20 1/8 in April.

Twenty-nine of the 36 analysts tracking the stock rate it either a "buy" or "strong buy."

First Call consensus expects Oracle to earn 22 cents a share in its second quarter and $1.06 a share in the fiscal year.