Anisotropy of fracture toughness and fracture behavior of Fe20Cr5Al oxide dispersionstrengthened alloy has been investigated by means of compression tests, hardness tests, and wedge splitting test. The results show a small effect of the compression direction on yield strength (YS) and strain hardening. The YS is minimum for longitudinal direction and maximum for the tangential direction. The transverse plastic strain ratio is similar for tangential and longitudinal directions but very different from that in normal direction. Hardness depends on the indentation plane; it is lower for any plane parallel to the L-T plane and of similar magnitude for the other orthogonal planes, i.e., the L-S and T-S planes. Macroscopically, two failure modes have been observed after wedge-splitting tests, those of LS and TS specimens in which fracture deviates along one or two branches normal to the notch plane, and those of LT, TL, SL, and ST specimens in which fracture propagates along the notch plane. Besides LT and TL specimens present delaminations parallel to L-T plane. Both, the fracture surface of branching cracks and that of the delaminations, show an intergranular brittle fracture appearance. It is proposed that the main cause of the delamination and crack branching is the alignment in the mesoscopic scale of the ultrafine grains structure which is enhanced by the h110i-texture of the material and by the presence in the grain boundaries of both yttria dispersoids and impurity contaminations. An elastoplastic finite element analysis was performed to study what stress state is the cause of the branches and delaminations. It is concluded that the normal to the crack branches and/or the shear stress components could determine the crack bifurcation mechanism, whereas the delamination it seems that it is controlled by the magnitude of the stress component normal to the delamination plane.