Oracle (NYSE:ORCL) Shares Gap Up – Time to Buy?

Oracle Corporation (NYSE:ORCL)’s stock price gapped up before the market opened on Monday . The stock had previously closed at $164.58, but opened at $170.92. Oracle shares last traded at $167.87, with a volume of 16,838,954 shares traded.

Oracle News Summary

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Investors were encouraged that the fundraising is intended to fulfil contracted demand from major customers (AMD, Meta, NVIDIA, OpenAI, TikTok, xAI), which supports OCI growth prospects and revenue visibility. Why Is Oracle Stock Moving Higher? $50B Cloud Expansion Plan
• Positive Sentiment: Market commentary noted the capital raise eases immediate funding fears around Oracle’s massive data?center expansion, which helped shares rebound after earlier weakness. Oracle shares rise as $50 billion raise eases data-center funding fears
• Positive Sentiment: Oracle’s official filing/press release details the equity-and-debt plan for calendar?year 2026 to fund OCI capacity expansion tied to contracted customer demand. That clarity is supportive for investors focused on execution. Oracle announces Equity and Debt Financing Plan for Calendar Year 2026
• Neutral Sentiment: Coverage highlights the strategic rationale — a bet to capture AI/OCI demand — but reminds investors this is a capital?intensive push whose returns depend on long?cycle cloud economics. Oracle plans up to $50B fundraising to expand cloud infrastructure
• Neutral Sentiment: Analysts and outlets note Oracle’s more candid disclosure about AI spending is helpful for investors comparing transparency across tech peers. Oracle and Meta Took a ‘Give It to Me Straight’ Tack on AI Spending. Google and Amazon Should Too.
• Negative Sentiment: Other investors reacted negatively to the size of the raise, pushing concerns about higher leverage, rising cost to insure Oracle debt (CDS moves), and near?term dilution from equity issuance. Early premarket selling reflected those fears. Oracle shares fall as investors assess up to $50 billion AI funding plan
• Negative Sentiment: Analyst notes and reports flagged potential cost cuts (layoff speculation) and broader market worry that heavy AI capex could test the valuation of AI/cloud trades. Those risks pressured early session trade for ORCL. Oracle dips 3% after announcing $50 billion fundraising plans. Here’s why

Analyst Ratings Changes

A number of equities analysts have recently commented on the stock. William Blair restated an “outperform” rating on shares of Oracle in a research report on Friday, October 17th. Weiss Ratings downgraded Oracle from a “buy (b-)” rating to a “hold (c+)” rating in a report on Friday, January 23rd. Scotiabank decreased their price target on Oracle from $360.00 to $260.00 and set a “sector outperform” rating on the stock in a research note on Thursday, December 11th. Evercore ISI increased their price target on shares of Oracle from $350.00 to $385.00 and gave the company an “outperform” rating in a research report on Friday, October 17th. Finally, UBS Group reaffirmed a “buy” rating on shares of Oracle in a research note on Monday. Three investment analysts have rated the stock with a Strong Buy rating, twenty-five have assigned a Buy rating, eleven have issued a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $300.46.

Oracle Price Performance

The company has a market capitalization of $475.45 billion, a PE ratio of 31.10, a PEG ratio of 1.44 and a beta of 1.64. The company has a current ratio of 0.91, a quick ratio of 0.91 and a debt-to-equity ratio of 3.28. The company’s 50 day moving average price is $194.12 and its 200-day moving average price is $237.41.

Oracle (NYSE:ORCL) last released its quarterly earnings data on Wednesday, December 10th. The enterprise software provider reported $2.26 EPS for the quarter, beating the consensus estimate of $1.64 by $0.62. The company had revenue of $16.06 billion for the quarter, compared to analyst estimates of $16.19 billion. Oracle had a return on equity of 70.60% and a net margin of 25.28%.The firm’s revenue was up 14.2% compared to the same quarter last year. During the same period last year, the company posted $1.47 earnings per share. On average, sell-side analysts forecast that Oracle Corporation will post 5 earnings per share for the current fiscal year.

Oracle Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, January 23rd. Investors of record on Friday, January 9th were issued a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a yield of 1.2%. The ex-dividend date of this dividend was Friday, January 9th. Oracle’s dividend payout ratio (DPR) is presently 37.59%.

Insider Activity

In other Oracle news, Director Naomi O. Seligman sold 2,223 shares of the firm’s stock in a transaction on Tuesday, December 23rd. The shares were sold at an average price of $196.61, for a total transaction of $437,064.03. Following the completion of the transaction, the director directly owned 25,596 shares of the company’s stock, valued at $5,032,429.56. This trade represents a 7.99% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Douglas A. Kehring sold 35,000 shares of the company’s stock in a transaction dated Thursday, January 15th. The shares were sold at an average price of $194.89, for a total transaction of $6,821,150.00. Following the completion of the sale, the executive vice president owned 33,638 shares in the company, valued at approximately $6,555,709.82. This trade represents a 50.99% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 62,223 shares of company stock worth $12,136,764. 40.90% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Oracle

Large investors have recently bought and sold shares of the business. Swiss National Bank grew its position in Oracle by 7.6% during the second quarter. Swiss National Bank now owns 5,093,200 shares of the enterprise software provider’s stock valued at $1,113,526,000 after purchasing an additional 360,000 shares in the last quarter. Patton Fund Management Inc. boosted its stake in shares of Oracle by 626.1% during the 3rd quarter. Patton Fund Management Inc. now owns 11,537 shares of the enterprise software provider’s stock valued at $3,245,000 after buying an additional 9,948 shares during the period. Private Wealth Asset Management LLC grew its holdings in shares of Oracle by 9.2% during the 2nd quarter. Private Wealth Asset Management LLC now owns 3,817 shares of the enterprise software provider’s stock valued at $835,000 after acquiring an additional 321 shares in the last quarter. Soltis Investment Advisors LLC increased its stake in shares of Oracle by 4.8% in the second quarter. Soltis Investment Advisors LLC now owns 32,937 shares of the enterprise software provider’s stock worth $7,201,000 after acquiring an additional 1,515 shares during the last quarter. Finally, Cascade Investment Group Inc. purchased a new stake in shares of Oracle during the second quarter worth $239,000. Institutional investors own 42.44% of the company’s stock.

Oracle Company Profile

Oracle Corporation is a multinational technology company that develops and sells database software, cloud engineered systems, enterprise software applications and related services. The company is widely known for its flagship Oracle Database and a portfolio of enterprise-grade software products that support data management, application development, analytics and middleware. Over recent years Oracle has expanded its focus to include cloud infrastructure and cloud applications, positioning itself as a provider of both platform and software-as-a-service solutions for large organizations.

Oracle’s product and service offerings include Oracle Database and the Autonomous Database, Oracle Cloud Infrastructure (OCI), enterprise resource planning (ERP), human capital management (HCM) and supply chain management (SCM) cloud applications (often grouped under Oracle Fusion Cloud Applications), middleware such as WebLogic, and developer technologies including Java and MySQL.