Oracle (NYSE:ORCL) Shares Gap Down – Time to Sell?

Oracle Corporation (NYSE:ORCL) gapped down prior to trading on Thursday . The stock had previously closed at $201.26, but opened at $179.67. Oracle shares last traded at $180.5180, with a volume of 14,602,265 shares.

Trending Headlines about Oracle

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Oracle posted record Q4 results, beating estimates on both earnings and revenue, while cloud infrastructure revenue surged and backlog/RPO hit a record level. Reuters: Oracle beats fourth-quarter revenue estimates
• Positive Sentiment: Management kept its FY27 revenue outlook strong and raised profit guidance, which suggests Oracle expects continued demand for its cloud and AI services. Oracle PR release
• Positive Sentiment: Several analysts raised price targets after the report, including Cantor Fitzgerald, DA Davidson, Piper Sandler, BMO Capital Markets, and Guggenheim, signaling Wall Street still sees meaningful upside. Benzinga analyst updates
• Positive Sentiment: Oracle also won a $396 million U.S. government HR software contract, adding another long-term enterprise/customer win. Quartz: Oracle wins $396M federal HR software contract

Analyst Upgrades and Downgrades

A number of brokerages have weighed in on ORCL. Arete Research set a $255.00 target price on Oracle and gave the stock a “buy” rating in a research note on Thursday, May 7th. Stephens reiterated an “equal weight” rating and set a $164.00 price objective on shares of Oracle in a research report on Thursday. Wedbush set a $240.00 price objective on Oracle and gave the company an “outperform” rating in a research report on Thursday. Jefferies Financial Group reduced their price objective on Oracle from $400.00 to $320.00 and set a “buy” rating on the stock in a research report on Thursday, March 5th. Finally, KeyCorp reiterated an “overweight” rating on shares of Oracle in a research report on Thursday. Three equities research analysts have rated the stock with a Strong Buy rating, twenty-nine have issued a Buy rating, eight have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $267.68.

Oracle Trading Down 12.0%

The firm has a 50-day moving average of $183.16 and a 200-day moving average of $177.98. The company has a debt-to-equity ratio of 3.66, a quick ratio of 1.35 and a current ratio of 1.35. The firm has a market capitalization of $509.59 billion, a P/E ratio of 31.85, a price-to-earnings-growth ratio of 1.61 and a beta of 1.65.

Oracle (NYSE:ORCL) last posted its quarterly earnings results on Wednesday, June 10th. The enterprise software provider reported $2.11 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.96 by $0.15. Oracle had a return on equity of 62.70% and a net margin of 25.30%.The business had revenue of $19.18 billion for the quarter, compared to analyst estimates of $19.10 billion. During the same period last year, the company earned $1.70 EPS. Oracle’s revenue for the quarter was up 20.6% compared to the same quarter last year. 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, equities research analysts anticipate that Oracle Corporation will post 6.09 EPS for the current fiscal year.

Oracle Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, July 24th. Investors of record on Friday, July 10th will be given a dividend of $0.50 per share. This represents a $2.00 annualized dividend and a yield of 1.1%. The ex-dividend date is Friday, July 10th. Oracle’s dividend payout ratio (DPR) is presently 35.91%.

Insider Transactions at Oracle

In related news, EVP Stuart Levey sold 15,000 shares of the firm’s stock in a transaction that occurred on Thursday, April 16th. The stock was sold at an average price of $176.19, for a total transaction of $2,642,850.00. Following the transaction, the executive vice president directly owned 3,429 shares in the company, valued at $604,155.51. This trade represents a 81.39% decrease in their position. The transaction was disclosed in a legal filing 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 currently owned by insiders.

Hedge Funds Weigh In On Oracle

Institutional investors and hedge funds have recently bought and sold shares of the stock. FSA Wealth Management LLC bought a new position in Oracle during the 3rd quarter worth approximately $28,000. Mpwm Advisory Solutions LLC lifted its holdings in Oracle by 76.9% in the 3rd quarter. Mpwm Advisory Solutions LLC now owns 115 shares of the enterprise software provider’s stock worth $32,000 after buying an additional 50 shares during the period. Turning Point Benefit Group Inc. purchased a new stake in Oracle in the 3rd quarter worth approximately $35,000. HFM Investment Advisors LLC lifted its holdings in Oracle by 290.9% in the 4th quarter. HFM Investment Advisors LLC now owns 129 shares of the enterprise software provider’s stock worth $25,000 after buying an additional 96 shares during the period. Finally, Basepoint Wealth LLC purchased a new stake in Oracle in the 4th quarter worth approximately $26,000. 42.44% of the stock is currently owned by 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.