Oracle (NYSE:ORCL) Hits New 12-Month Low – Here’s What Happened

Oracle Corporation (NYSE:ORCL) hit a new 52-week low during trading on Tuesday . The company traded as low as $114.51 and last traded at $115.5370, with a volume of 5832696 shares trading hands. The stock had previously closed at $119.90.

Oracle News Roundup

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Oracle expanded its partnership with Google Cloud to make Gemini 3.1 Flash-Lite and 3.5 Flash models available across Oracle Fusion Cloud Applications and NetSuite. The integration could help customers automate workflows, deploy agentic applications and improve AI price-performance, strengthening Oracle’s enterprise-AI offering. Oracle to Make Gemini Models Available to Thousands of Enterprise Applications Customers
• Positive Sentiment: One analyst upgraded Oracle, arguing that investors may be undervaluing the company’s long-term AI opportunity. Another analyst said Wall Street is effectively assigning little or no value to Oracle’s reported $630 billion AI backlog, including potential OpenAI-related compute commitments. Oracle: Bears May Pay a Big Price
• Positive Sentiment: A Pentagon software contract worth up to nearly $7 billion and continued cloud growth provide evidence that Oracle is winning large, strategic workloads despite the selloff. Some valuation analyses also view the shares as inexpensive relative to potential earnings and AI growth. Oracle Stock Looks Undervalued On Earnings While Risks Still Weigh
• Neutral Sentiment: Oracle’s valuation appears attractive after shares fell roughly 50% over the past year, but analysts disagree on whether the discount adequately reflects the company’s financial and AI-investment risks. Should You Buy Oracle Since It Promises 100% Upside?
• Negative Sentiment: Oracle’s credit-default-swap costs have risen to about 200 basis points, substantially above some other AI-linked issuers. Investors are increasingly questioning whether debt-funded data-center spending will generate adequate returns, pressuring the stock and raising concerns about balance-sheet risk. Oracle Stock Drops as Default Insurance Hits 200 Basis Points
• Negative Sentiment: Broader worries about hyperscaler borrowing, slowing AI spending and Oracle’s exposure to large AI infrastructure commitments are weighing on investor confidence. Larry Ellison’s personal guarantee of $40.4 billion tied to a media transaction also adds a governance and financial-overhang concern for shareholders. Larry Ellison’s Personal Guarantee and Oracle Shareholder Risk

Wall Street Analyst Weigh In

A number of brokerages have weighed in on ORCL. Royal Bank Of Canada reiterated a “sector perform” rating and set a $190.00 target price on shares of Oracle in a research report on Thursday, June 11th. TD Cowen lifted their price target on Oracle from $250.00 to $300.00 and gave the company a “buy” rating in a research report on Monday, June 8th. Moffett Nathanson set a $325.00 target price on Oracle in a report on Thursday, June 11th. KeyCorp reaffirmed an “overweight” rating on shares of Oracle in a research note on Thursday, June 11th. Finally, Sanford C. Bernstein boosted their price target on shares of Oracle from $319.00 to $325.00 and gave the company an “outperform” rating in a research report on Thursday, June 11th. Two 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 given a Sell rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $265.03.

Oracle Stock Down 1.8%

The company has a debt-to-equity ratio of 3.21, a quick ratio of 1.12 and a current ratio of 1.12. The company has a market cap of $339.23 billion, a PE ratio of 20.20, a PEG ratio of 0.75 and a beta of 1.72. The stock’s 50 day moving average price is $166.35 and its 200-day moving average price is $165.16.

Oracle (NYSE:ORCL) last issued its earnings results on Wednesday, June 10th. The enterprise software provider reported $2.11 earnings per share for the quarter, beating the consensus estimate 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%.Oracle’s quarterly revenue was up 20.6% compared to the same quarter last year. During the same period in the prior year, the business 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. On average, analysts predict that Oracle Corporation will post 6.47 earnings per share for the current year.

Oracle Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, July 24th. Shareholders of record on Friday, July 10th were given a $0.50 dividend. The ex-dividend date was Friday, July 10th. This represents a $2.00 annualized dividend and a yield of 1.7%. Oracle’s dividend payout ratio (DPR) is presently 34.31%.

Insider Activity at Oracle

In other news, Vice Chairman Jeffrey Henley sold 400,000 shares of Oracle stock in a transaction dated 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 transaction, the insider directly owned 400,000 shares of the company’s stock, valued at $63,664,000. The trade was a 50.00% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 40.90% of the stock is owned by company insiders.

Institutional Trading of Oracle

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

About Oracle

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.