Oracle (NYSE:ORCL) Stock Price Up 4.3% – Still a Buy?

Shares of Oracle Corporation (NYSE:ORCL) shot up 4.3% during mid-day trading on Monday . The stock traded as high as $195.32 and last traded at $192.11. 19,849,031 shares changed hands during trading, a decline of 28% from the average session volume of 27,423,316 shares. The stock had previously closed at $184.13.

Oracle News Roundup

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Oracle stock is bouncing back as bullish analysts point to its AI cloud infrastructure opportunity and argue the recent selloff may have been overdone. Why Is Oracle Stock Surging On Monday?
• Positive Sentiment: The company continues to benefit from strong demand for Oracle Fusion Cloud and related AI-powered applications, including a new contract with Canada’s Centre for Addiction and Mental Health to expand its Oracle footprint. The Centre for Addiction and Mental Health Optimizes Operations and Patient Care with Oracle Fusion Cloud Applications
• Positive Sentiment: Oracle’s record $638 billion in remaining performance obligations underscores a large pipeline of future revenue, suggesting demand for its cloud and AI offerings remains strong. Oracle Is (ORCL) Down Despite Revealing $638 Billion Worth Of Orders, Is The Market Wrong On This One?
• Neutral Sentiment: Oracle is drawing attention for its new AI pricing models, which could improve customer adoption and monetization, but the market is still evaluating the impact on margins and growth. Oracle’s New AI Pricing Models And What They Could Mean For ORCL
• Negative Sentiment: Investors remain worried about Oracle’s heavy capital needs for AI infrastructure, with some reports saying the company plans to raise about $40 billion through debt and equity, which pressured the stock after earnings. Oracle’s Q4 Double Beat Shouldn’t Have Sent Shares Down By 10. What Spooked Investors?
• Negative Sentiment: Recent analyst caution, including a price-target cut from Scotiabank, shows that Wall Street still has concerns about Oracle’s funding needs and near-term returns on its AI spending. Is Oracle (ORCL) One of the Best S&P 500 Dividend Stocks to Buy Right Now?

Analyst Upgrades and Downgrades

Several brokerages have recently issued reports on ORCL. Stifel Nicolaus lowered their price target on Oracle from $275.00 to $220.00 and set a “buy” rating on the stock in a research report on Wednesday, March 11th. Mizuho set a $320.00 price target on Oracle in a research report on Wednesday, June 3rd. Oppenheimer lifted their price target on Oracle from $235.00 to $275.00 and gave the company an “outperform” rating in a research report on Monday, June 8th. Scotiabank reiterated an “overweight” rating on shares of Oracle in a research report on Thursday. Finally, Jefferies Financial Group decreased their target price on Oracle from $400.00 to $320.00 and set a “buy” rating on the stock in a report on Thursday, March 5th. Three research analysts have rated the stock with a Strong Buy rating, twenty-eight have assigned a Buy rating, eight have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $268.27.

Oracle Stock Up 4.3%

The company has a current ratio of 1.12, a quick ratio of 1.35 and a debt-to-equity ratio of 2.84. The firm has a market capitalization of $552.52 billion, a price-to-earnings ratio of 32.95, a PEG ratio of 1.18 and a beta of 1.65. The stock has a fifty day moving average of $184.68 and a 200-day moving average of $177.77.

Oracle (NYSE:ORCL) last issued its earnings results on Wednesday, June 10th. The enterprise software provider reported $2.11 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.96 by $0.15. The business had revenue of $19.18 billion for the quarter, compared to analysts’ expectations of $19.10 billion. Oracle had a return on equity of 56.43% and a net margin of 25.37%.The company’s quarterly revenue was up 20.6% on a year-over-year basis. During the same period in the previous year, the firm posted $1.70 EPS. Oracle has set its Q1 2027 guidance at 1.720-1.760 EPS and its FY 2027 guidance at 8.050-8.050 EPS. As a group, sell-side analysts expect that Oracle Corporation will post 6.32 EPS for the current year.

Oracle Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, July 24th. Stockholders of record on Friday, July 10th will be given a $0.50 dividend. This represents a $2.00 annualized dividend and a dividend yield of 1.0%. The ex-dividend date of this dividend is Friday, July 10th. Oracle’s dividend payout ratio (DPR) is 34.31%.

Insider Activity at Oracle

In other news, EVP Stuart Levey sold 15,000 shares of the firm’s stock in a transaction on Thursday, April 16th. The stock was sold at an average price of $176.19, for a total value of $2,642,850.00. Following the completion of the sale, the executive vice president owned 3,429 shares of the company’s stock, valued at $604,155.51. This trade represents a 81.39% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 40.90% of the stock is currently owned by company insiders.

Institutional Trading of Oracle

Several hedge funds and other institutional investors have recently modified their holdings of the business. S&A Financial Services Inc. acquired a new stake in shares of Oracle in the first quarter worth $247,000. FAS Wealth Partners Inc. boosted its position in shares of Oracle by 7.1% in the first quarter. FAS Wealth Partners Inc. now owns 6,529 shares of the enterprise software provider’s stock worth $961,000 after buying an additional 430 shares during the period. Rathbones Group PLC boosted its position in shares of Oracle by 1.1% in the first quarter. Rathbones Group PLC now owns 44,975 shares of the enterprise software provider’s stock worth $6,616,000 after buying an additional 473 shares during the period. Robinswood Financial LLC acquired a new stake in shares of Oracle in the first quarter worth $54,000. Finally, First National Bank of Mount Dora Trust Investment Services boosted its position in shares of Oracle by 31.1% in the first quarter. First National Bank of Mount Dora Trust Investment Services now owns 47,844 shares of the enterprise software provider’s stock worth $7,038,000 after buying an additional 11,356 shares during the period. Institutional investors and hedge funds 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.