Oracle (NYSE:ORCL) Trading 1.9% Higher – Should You Buy?

Oracle Corporation (NYSE:ORCL)’s share price rose 1.9% during mid-day trading on Friday . The company traded as high as $132.40 and last traded at $129.9850. 34,227,569 shares changed hands during mid-day trading, an increase of 17% from the average daily volume of 29,363,674 shares. The stock had previously closed at $127.56.

Oracle News Summary

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Expanded Google Cloud AI partnership: Oracle and Google Cloud will make Google’s Gemini models available across Oracle Fusion Cloud Applications and NetSuite. The integration could help thousands of enterprise customers automate workflows, improve decision-making and build agentic applications, strengthening Oracle’s cloud platform and AI monetization prospects. Oracle to Make Gemini Models Available to Thousands of Enterprise Applications Customers
• Positive Sentiment: Analysts see substantial upside: Coverage points to a consensus price target near $248 and notes that three Wall Street analysts have targets of $400. The forecasts reflect confidence that Oracle’s cloud growth and AI-related demand are not fully reflected in its depressed valuation. 3 Wall Street Analysts Have Oracle Going to $400
• Positive Sentiment: Backlog viewed as undervalued: Bullish commentary argues that Oracle’s large, OCI-driven remaining performance obligations and cloud backlog are receiving little credit from the market. If converted into revenue as expected, the backlog could support stronger long-term growth. Oracle’s Massive Backlog Gets No Credit
• Neutral Sentiment: Broader AI-cloud rebound: Oracle’s move occurred alongside a sharp recovery in AI infrastructure stocks, suggesting that sector-wide risk appetite and technical factors are also contributing, rather than the movement being driven solely by company fundamentals. AI Cloud Names Snap Back
• Negative Sentiment: Debt and capital-spending risks remain: Reporting highlights the substantial debt Oracle has taken on to build data centers for AI workloads. Heavy investment could pressure cash flow and returns if cloud demand or utilization falls short of expectations. Five Takeaways From the Times Investigation Into Larry Ellison’s A.I. Gamble

Analyst Upgrades and Downgrades

A number of research firms have weighed in on ORCL. Scotiabank restated an “overweight” rating on shares of Oracle in a research report on Thursday, June 11th. Guggenheim reiterated a “buy” rating on shares of Oracle in a research report on Thursday, July 23rd. Mizuho set a $320.00 target price on shares of Oracle in a research report on Wednesday, June 3rd. Royal Bank Of Canada reissued a “sector perform” rating and set a $190.00 target price on shares of Oracle in a research note on Thursday, June 11th. Finally, Piper Sandler upped their price target on shares of Oracle from $210.00 to $225.00 and gave the stock an “overweight” rating in a research report on Thursday, June 11th. Two research analysts have rated the stock with a Strong Buy rating, twenty-eight have assigned a Buy rating, eight have given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, Oracle currently has an average rating of “Moderate Buy” and a consensus price target of $265.03.

Oracle Trading Up 1.9%

The company has a 50 day moving average of $163.86 and a 200 day moving average of $164.42. 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 has a market capitalization of $374.42 billion, a price-to-earnings ratio of 22.30, a P/E/G ratio of 0.82 and a beta of 1.72.

Oracle (NYSE:ORCL) last announced 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. Oracle had a net margin of 25.37% and a return on equity of 58.62%. The company had revenue of $19.18 billion for the quarter, compared to analysts’ expectations of $19.10 billion. During the same quarter in the previous year, the company posted $1.70 EPS. The firm’s quarterly 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. On average, research analysts predict that Oracle Corporation will post 6.47 EPS for the current fiscal year.

Oracle Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, July 24th. Investors of record on Friday, July 10th were given a dividend of $0.50 per share. The ex-dividend date was Friday, July 10th. This represents a $2.00 dividend on an annualized basis and a yield of 1.5%. Oracle’s payout ratio is presently 34.31%.

Insider Transactions at Oracle

In related news, Vice Chairman Jeffrey Henley sold 400,000 shares of the company’s stock in a transaction dated 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 completion of the sale, the insider owned 400,000 shares of the company’s stock, 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 Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 40.90% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in ORCL. FSA Wealth Management LLC acquired a new stake in shares of Oracle in the third quarter valued at approximately $28,000. Mpwm Advisory Solutions LLC lifted its position in Oracle by 76.9% during the third 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 in the last quarter. Turning Point Benefit Group Inc. purchased a new position in Oracle during the third quarter worth approximately $35,000. HFM Investment Advisors LLC boosted its stake in Oracle by 290.9% during the fourth 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 last quarter. Finally, Basepoint Wealth LLC acquired a new position in Oracle during the fourth quarter worth $26,000. 42.44% of the stock is currently owned by institutional investors and hedge funds.

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.