Oracle (NYSE:ORCL) Trading 2.7% Higher – Still a Buy?

Oracle Corporation (NYSE:ORCL)’s share price rose 2.7% during trading on Monday . The stock traded as high as $151.99 and last traded at $151.02. Approximately 23,976,755 shares changed hands during trading, a decline of 19% from the average session volume of 29,484,771 shares. The stock had previously closed at $147.02.

Trending Headlines about Oracle

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Dip-buying and rebound expectations: Investors appear to view Oracle’s roughly one-third decline since last December—and its approximately 42% drop over the past year—as an opportunity. Bullish commentary points to the company’s large backlog and argues that the selloff has created an attractive entry point. Oracle Stock Is Gaining Monday: What’s Going On? Oracle’s Rebound Is All But Assured So I Keep Buying
• Positive Sentiment: AI remains a major growth catalyst: Oracle’s partnership with Google Cloud is bringing Gemini models into Oracle’s enterprise applications, potentially broadening AI-powered workflows and analytics for business customers. Coverage also highlights Oracle’s continuing role in the AI infrastructure buildout. What Does Oracle Gain From Bringing New AI Models Into Its Apps? Why Oracle Stock Is Surging Back Into the AI Conversation
• Positive Sentiment: Fundamental and technical support: Recent earnings exceeded expectations, with revenue rising 20.6% year over year, while Zacks’ analysis characterizes ORCL as a strong growth stock. Oracle co-founder Larry Ellison’s rise in global wealth during the session also reflected Oracle’s comparatively stronger trading performance versus Nvidia. Here’s Why Oracle Is a Strong Growth Stock Nvidia Stock Loses $130 Billion in Market Value
• Neutral Sentiment: Investors remain focused on valuation: Oracle’s AI momentum has prompted debate over whether its growth prospects justify the valuation, particularly after the recent rebound. Oracle AI Momentum Sparks a Fresh Valuation Debate
• Negative Sentiment: Debt and execution risks persist: Oracle’s aggressive AI infrastructure expansion has increased investor concern about its debt load and the returns it will generate. These concerns, along with the stock trading below its moving averages, could limit the recovery if AI growth fails to meet expectations. It’s Not What It Looks Like, Says Investor About Oracle Stock

Analysts Set New Price Targets

A number of analysts recently issued reports on ORCL shares. Piper Sandler lifted their price objective on Oracle from $210.00 to $225.00 and gave the company an “overweight” rating in a research report on Thursday, June 11th. Morgan Stanley reaffirmed a “mixed” rating on shares of Oracle in a research note on Thursday, June 11th. Oppenheimer lifted their price target on Oracle from $235.00 to $275.00 and gave the company an “outperform” rating in a report on Monday, June 8th. Moffett Nathanson set a $325.00 price target on Oracle in a research note on Thursday, June 11th. Finally, Weiss Ratings downgraded Oracle from a “hold (c+)” rating to a “hold (c)” rating in a report on Monday, July 20th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-eight have given a Buy rating, eight have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $263.97.

Oracle Price Performance

The company has a quick ratio of 1.12, a current ratio of 1.12 and a debt-to-equity ratio of 3.21. The stock has a market capitalization of $435.01 billion, a price-to-earnings ratio of 25.90, a P/E/G ratio of 0.92 and a beta of 1.72. The company’s 50-day simple moving average is $158.22 and its 200 day simple moving average is $162.41.

Oracle (NYSE:ORCL) last announced its quarterly earnings results on Wednesday, June 10th. The enterprise software provider reported $2.11 earnings per share for the quarter, topping analysts’ consensus estimates of $1.96 by $0.15. The company had revenue of $19.18 billion during the quarter, compared to analysts’ expectations of $19.10 billion. Oracle had a return on equity of 58.62% and a net margin of 25.37%.The business’s quarterly revenue was up 20.6% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $1.70 earnings per share. Oracle has set its Q1 2027 guidance at 1.720-1.760 EPS and its FY 2027 guidance at 8.050-8.050 EPS. Equities research analysts forecast that Oracle Corporation will post 6.47 EPS for the current year.

Oracle Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Friday, July 24th. Investors of record on Friday, July 10th were issued a $0.50 dividend. This represents a $2.00 annualized dividend and a yield of 1.3%. The ex-dividend date was Friday, July 10th. Oracle’s payout ratio is 34.31%.

Insider Transactions at Oracle

In other Oracle news, Vice Chairman Jeffrey Henley sold 400,000 shares of the company’s stock in a transaction that occurred on Wednesday, June 24th. The stock was sold at an average price of $159.16, for a total transaction of $63,664,000.00. Following the completion of the sale, the insider owned 400,000 shares of the company’s stock, valued at $63,664,000. This represents a 50.00% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 40.90% of the stock is owned by insiders.

Institutional Trading of Oracle

Institutional investors and hedge funds have recently modified their holdings of the company. HFM Investment Advisors LLC grew its stake in Oracle by 290.9% in the 4th quarter. HFM Investment Advisors LLC now owns 129 shares of the enterprise software provider’s stock valued at $25,000 after buying an additional 96 shares during the last quarter. Basepoint Wealth LLC acquired a new position in Oracle during the 4th quarter worth $26,000. FSA Wealth Management LLC acquired a new position in Oracle during the 3rd quarter worth $28,000. Osbon Capital Management LLC bought a new stake in Oracle during the fourth quarter valued at about $28,000. Finally, Joseph Group Capital Management bought a new stake in Oracle during the fourth quarter valued at about $29,000. 42.44% of the stock is currently owned by institutional investors and hedge funds.

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.