Oracle (NYSE:ORCL) Trading 4.7% Higher – Still a Buy?

Oracle Corporation (NYSE:ORCL)’s share price shot up 4.7% during trading on Tuesday . The company traded as high as $127.42 and last traded at $127.13. 27,428,451 shares were traded during trading, a decline of 6% from the average daily volume of 29,120,959 shares. The stock had previously closed at $121.38.

More Oracle News

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: UBS said the sharp selloff in AI and momentum stocks may be nearing exhaustion, which could help Oracle rebound if investors start rebuilding positions in the sector. UBS sees Broadcom, Sandisk, Oracle stocks rebounding: here’s why
• Positive Sentiment: Several analysts and commentary pieces pointed to Oracle’s huge cloud backlog and long-term AI demand as reasons the stock could be undervalued despite the selloff. Oracle Stock Is Deep in the Red, But Wall Street Sees 220% Upside
• Positive Sentiment: Mizuho reiterated a Buy rating and a $320 price target, saying Oracle’s risk/reward profile looks attractive after the selloff. “Risk/Reward Is Most Attractive in Coverage,” says Mizuho Analyst About Oracle Stock (ORCL)
• Neutral Sentiment: Oracle was also highlighted in a broader AI-cloud rally article after peers like Nebius and CoreWeave jumped, suggesting investors still see value in the theme even as Oracle remains pressured. Nebius Explodes 16% Higher on NVIDIA Stake Stunner; CoreWeave Surges 8%, Oracle Adds 5% as AI Cloud Plays Pay Off
• Neutral Sentiment: Oracle continues to gain attention for its AI and cloud strategy, including a new partnership with IMSA Labs to launch a cloud and AI studio. Oracle (ORCL) Partners With IMSA Labs To Launch Cloud And AI Studio
• Negative Sentiment: Wisconsin regulators upheld a rule that could force Oracle to post more than $7 billion in collateral for a planned AI data center, increasing funding pressure and adding to investor worries about the company’s capital-intensive expansion. Oracle Faces $7 Billion Wisconsin Collateral Bill
• Negative Sentiment: S&P cut Oracle’s credit rating to BBB-, and multiple reports said credit risk is near an 18-year high as AI spending strains cash flow and raises concern about debt-fueled growth. Oracle Is One Step From Junk—Can It Afford the AI Boom?
• Negative Sentiment: Analysts also warned that Oracle may need far more capital than expected to fund its AI infrastructure buildout, reinforcing concerns about execution risk and leverage. “Hundreds of Billions at Stake”: CLSA Analyst Cautions on Oracle’s (ORCL) AI Cloud Gamble

Wall Street Analyst Weigh In

Several analysts have issued reports on ORCL shares. Guggenheim restated a “buy” rating and issued a $400.00 target price on shares of Oracle in a report on Thursday, June 11th. Evercore reissued an “outperform” rating and set a $245.00 price target on shares of Oracle in a research report on Monday, June 8th. Stephens reissued an “equal weight” rating and issued a $164.00 price objective on shares of Oracle in a report on Thursday, June 11th. Arete Research set a $255.00 price objective on shares of Oracle and gave the stock a “buy” rating in a research report on Thursday, May 7th. Finally, Scotiabank reaffirmed an “overweight” rating on shares of Oracle in a research note on Thursday, June 11th. Two analysts have rated the stock with a Strong Buy rating, twenty-eight have assigned a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $265.03.

Oracle Price Performance

The stock has a 50-day simple moving average of $175.85 and a 200 day simple moving average of $168.74. The company has a market cap of $366.19 billion, a PE ratio of 21.81, a P/E/G ratio of 0.79 and a beta of 1.72. The company has a quick ratio of 1.12, a current ratio of 1.12 and a debt-to-equity ratio of 3.21.

Oracle (NYSE:ORCL) last released 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 business 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 company’s 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. Equities analysts expect that Oracle Corporation will post 6.47 EPS for the current year.

Oracle Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, July 24th. Stockholders of record on Friday, July 10th will be paid a $0.50 dividend. This represents a $2.00 dividend on an annualized basis and a dividend yield of 1.6%. The ex-dividend date of this dividend is Friday, July 10th. Oracle’s payout ratio is 34.31%.

Insider Activity at Oracle

In other news, Vice Chairman Jeffrey Henley sold 400,000 shares of the company’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 value of $63,664,000.00. Following the transaction, the insider directly owned 400,000 shares in the company, valued at approximately $63,664,000. This represents a 50.00% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 40.90% of the company’s stock.

Institutional Trading of Oracle

A number of institutional investors and hedge funds have recently added to or reduced their stakes in ORCL. Brighton Jones LLC grew its position 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 acquiring an additional 100,494 shares in the last quarter. Revolve Wealth Partners LLC boosted its stake in shares of Oracle by 8.1% in the fourth 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 boosted its stake in shares of Oracle by 21.5% in the second 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 period. United Bank grew its holdings 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 purchasing an additional 963 shares in the last quarter. Finally, Schnieders Capital Management LLC. increased its stake 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 worth $11,556,000 after buying an additional 8,530 shares during the period. Hedge funds and other institutional investors 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.