Oracle (NYSE:ORCL) Trading 2.9% Higher – Time to Buy?

Oracle Corporation (NYSE:ORCL) traded up 2.9% during trading on Wednesday . The company traded as high as $151.63 and last traded at $148.90. Approximately 17,949,348 shares changed hands during trading, a decline of 38% from the average session volume of 28,949,779 shares. The stock had previously closed at $144.76.

More Oracle News

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Citi sees substantial rebound potential. Citigroup maintained a Buy rating and a $330 price target, arguing that the roughly 50% decline has reset expectations and priced in much of the negative news. The firm also placed Oracle on a positive catalyst watch ahead of upcoming results and the investor day expected in late October. Oracle Stock Is Rising Today: What’s Going On?
• Positive Sentiment: AI demand remains the core bullish argument. Analysts and investors continue to point to Oracle’s cloud partnerships, AI infrastructure exposure and approximately $638 billion backlog as evidence of strong future demand. Oracle also secured a potential $17 billion expansion of its U.S. Department of Veterans Affairs electronic health-record contract, strengthening its government healthcare position. Oracle Secures $17 Billion VA Contract Expansion
• Neutral Sentiment: Investor focus is shifting to execution. Oracle’s contracted demand is sizable, but the company must spend heavily on data-center capacity before much of that revenue is recognized. Upcoming results and the October investor day may provide more detail on backlog conversion, capital spending and cash flow.
• Negative Sentiment: Volatility and financing risks remain. Software stocks continue to experience sharp swings as AI expectations and leveraged trading amplify market moves. Oracle’s aggressive infrastructure investment, possible project delays and near-term pressure on profits remain risks, particularly given its high debt-to-equity ratio. Momentum and Leveraged Trading Keep Software Stocks Volatile
• Negative Sentiment: OpenAI executive departures introduce a minor partnership concern. Several OpenAI executives, including its data-center chief, reportedly left ahead of a potential IPO. Because OpenAI is involved in Stargate, the AI data-center venture with Oracle and SoftBank, the departures could raise questions about execution, although no direct change to the partnership was reported.

Analyst Ratings Changes

Several analysts recently weighed in on the company. CLSA began coverage on Oracle in a research note on Monday, July 20th. They set a “hold” rating and a $145.00 target price for the company. Wolfe Research reaffirmed an “outperform” rating and set a $225.00 price objective on shares of Oracle in a report on Thursday, June 11th. Morgan Stanley reaffirmed a “mixed” rating on shares of Oracle in a research note on Thursday, June 11th. Stephens reaffirmed an “equal weight” rating and set a $164.00 price objective on shares of Oracle in a research note on Thursday, June 11th. Finally, Cantor Fitzgerald restated an “overweight” rating and set a $284.00 target price on shares of Oracle in a report on Thursday, June 11th. Two analysts have rated the stock with a Strong Buy rating, twenty-eight have given a Buy rating, eight have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $263.97.

Oracle Stock Performance

The company has a current ratio of 1.12, a quick ratio of 1.12 and a debt-to-equity ratio of 3.21. The company has a market cap of $428.90 billion, a price-to-earnings ratio of 25.54, a P/E/G ratio of 0.89 and a beta of 1.72. The stock has a 50 day moving average price of $142.75 and a two-hundred day moving average price of $160.52.

Oracle (NYSE:ORCL) last posted its 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. The company had revenue of $19.18 billion during the quarter, compared to analyst estimates of $19.10 billion. Oracle had a return on equity of 58.62% and a net margin of 25.37%.The company’s revenue for the quarter was up 20.6% compared to the same quarter last year. During the same period in the previous year, the company earned $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. Analysts predict that Oracle Corporation will post 6.49 EPS for the current year.

Oracle Announces Dividend

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

Insider Transactions at Oracle

In other Oracle news, Vice Chairman Jeffrey Henley sold 400,000 shares of the firm’s stock in a transaction that occurred on Wednesday, June 24th. The shares were sold at an average price of $159.16, for a total transaction of $63,664,000.00. Following the sale, the insider directly owned 400,000 shares in the company, valued at approximately $63,664,000. This trade represents a 50.00% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 40.90% of the company’s stock.

Institutional Trading of Oracle

Several hedge funds and other institutional investors have recently modified their holdings of the company. Brighton Jones LLC increased its stake in Oracle by 189.3% in the 4th quarter. Brighton Jones LLC now owns 153,580 shares of the enterprise software provider’s stock valued at $25,593,000 after buying an additional 100,494 shares during the last quarter. Revolve Wealth Partners LLC raised its holdings in shares of Oracle by 8.1% in the 4th quarter. Revolve Wealth Partners LLC now owns 5,418 shares of the enterprise software provider’s stock valued at $903,000 after purchasing an additional 404 shares during the period. Sivia Capital Partners LLC lifted its stake in Oracle by 21.5% in the 2nd quarter. Sivia Capital Partners LLC now owns 4,348 shares of the enterprise software provider’s stock valued at $951,000 after purchasing an additional 768 shares during the last quarter. United Bank lifted its position in shares of Oracle by 6.8% in the second quarter. United Bank now owns 15,038 shares of the enterprise software provider’s stock valued at $3,288,000 after buying an additional 963 shares during the last quarter. Finally, Schnieders Capital Management LLC. lifted its holdings in Oracle by 19.2% during the 2nd quarter. Schnieders Capital Management LLC. now owns 52,856 shares of the enterprise software provider’s stock valued at $11,556,000 after purchasing an additional 8,530 shares during the last quarter. 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.