Oracle (NYSE:ORCL) Trading Up 3.3% – Should You Buy?

Oracle Corporation (NYSE:ORCL)’s stock price was up 3.3% on Friday . The company traded as high as $148.35 and last traded at $146.70. 19,473,090 shares changed hands during mid-day trading, a decline of 33% from the average session volume of 29,188,064 shares. The stock had previously closed at $142.07.

More Oracle News

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Analysts maintain a generally favorable view of Oracle, with the company receiving an average “Moderate Buy” rating. Another report highlighted a substantial gap between Oracle’s recent share price and the roughly $246 consensus price target, suggesting significant potential upside if its cloud and AI investments translate into faster growth. Oracle Corporation Receives Average Rating of Moderate Buy from Analysts
• Positive Sentiment: Oracle’s AI infrastructure strategy remains a key bullish catalyst. Its expanded collaboration with Amazon Web Services makes Oracle Exadata Database Service on Exascale Infrastructure available through Oracle AI Database@AWS across 22 AWS regions, potentially broadening customer access and supporting multicloud database growth. Oracle Corporation vs. Amazon: Which AI Infrastructure Giant Is Better Positioned for Long-Term Growth?
• Positive Sentiment: Oracle is also being viewed as a beneficiary of rising data-center power demand. Bloom Energy has identified Oracle and Brookfield Asset Management as customers or partners for portable fuel-cell solutions, reinforcing expectations that Oracle is actively expanding capacity to serve AI workloads. Bloom Energy Calls Its Fuel Cells Lego Blocks
• Neutral Sentiment: Commentary remains mixed on valuation and timing. Some analysts describe Oracle as inexpensive relative to its long-term AI opportunity but argue that the most meaningful financial inflection may not occur until 2027. Oracle Cheap, But Too Early
• Negative Sentiment: Risk-focused investors are warning that the AI data-center boom may be relying on heavy borrowing, circular financing and off-balance-sheet structures. Michael Burry’s comparison with the pre-2008 period could weigh on highly leveraged AI infrastructure companies, including Oracle, if concerns about debt-funded expansion intensify. Michael Burry Says the AI Buildout Is Repeating 2008

Wall Street Analysts Forecast Growth

ORCL has been the subject of a number of analyst reports. Weiss Ratings downgraded shares of Oracle from a “hold (c+)” rating to a “hold (c)” rating in a research report on Monday, July 20th. Stephens reaffirmed an “equal weight” rating and issued a $164.00 target price on shares of Oracle in a report on Thursday, June 11th. TD Cowen increased their price target on shares of Oracle from $250.00 to $300.00 and gave the stock a “buy” rating in a report on Monday, June 8th. Morgan Stanley restated a “mixed” rating on shares of Oracle in a research report on Thursday, June 11th. Finally, Barclays lifted their price objective on Oracle from $240.00 to $250.00 and gave the company an “overweight” rating in a report on Thursday, June 11th. Two research analysts have rated the stock with a Strong Buy rating, twenty-eight have given a Buy rating, eight have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $263.97.

Oracle Price Performance

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 stock’s fifty day moving average price is $145.36 and its 200-day moving average price is $160.71. The firm has a market cap of $422.57 billion, a PE ratio of 25.16, a P/E/G ratio of 0.90 and a beta of 1.72.

Oracle (NYSE:ORCL) last released its quarterly earnings data on Wednesday, June 10th. The enterprise software provider reported $2.11 EPS for the quarter, topping analysts’ consensus estimates of $1.96 by $0.15. Oracle had a net margin of 25.37% and a return on equity of 58.62%. The firm had revenue of $19.18 billion for the quarter, compared to the consensus estimate of $19.10 billion. During the same quarter in the previous year, the firm earned $1.70 earnings per share. The firm’s revenue was up 20.6% on a year-over-year basis. 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, equities analysts forecast that Oracle Corporation will post 6.49 EPS for the current fiscal year.

Oracle Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, July 24th. Stockholders of record on Friday, July 10th were given a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a dividend yield of 1.4%. The ex-dividend date was Friday, July 10th. Oracle’s dividend payout ratio (DPR) is presently 34.31%.

Insider Activity at Oracle

In related 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 value of $63,664,000.00. Following the sale, the insider owned 400,000 shares in the company, valued at $63,664,000. This represents a 50.00% decrease in their position. The transaction was disclosed in a legal filing with the SEC, 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

Institutional investors have recently bought and sold shares of the company. Vanguard Group Inc. increased its position in shares of Oracle by 3.5% in the fourth quarter. Vanguard Group Inc. now owns 174,802,084 shares of the enterprise software provider’s stock valued at $34,070,674,000 after buying an additional 5,841,584 shares in the last quarter. State Street Corp raised its stake in shares of Oracle by 4.4% during the 4th quarter. State Street Corp now owns 76,527,759 shares of the enterprise software provider’s stock worth $14,916,026,000 after buying an additional 3,216,915 shares during the last quarter. Geode Capital Management LLC boosted its position in shares of Oracle by 1.8% in the 4th quarter. Geode Capital Management LLC now owns 37,734,944 shares of the enterprise software provider’s stock worth $7,328,754,000 after buying an additional 665,374 shares in the last quarter. Capital Research Global Investors boosted its position in shares of Oracle by 29.3% in the 4th quarter. Capital Research Global Investors now owns 30,137,126 shares of the enterprise software provider’s stock worth $5,874,070,000 after buying an additional 6,826,299 shares in the last quarter. Finally, Morgan Stanley grew its stake in Oracle by 1.9% in the 4th quarter. Morgan Stanley now owns 27,125,099 shares of the enterprise software provider’s stock valued at $5,286,953,000 after acquiring an additional 495,146 shares during the last quarter. 42.44% of the stock is currently 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.