Oracle (NYSE:ORCL) Trading Down 0.2% After Earnings Miss

Oracle Co. (NYSE:ORCL)’s stock price fell 0.2% on Monday after the company announced weaker than expected quarterly earnings. The company traded as low as $190.55 and last traded at $191.35. 4,605,377 shares traded hands during trading, a decline of 44% from the average session volume of 8,237,305 shares. The stock had previously closed at $191.69.

The enterprise software provider reported $1.47 earnings per share for the quarter, missing analysts’ consensus estimates of $1.48 by ($0.01). Oracle had a return on equity of 171.38% and a net margin of 20.40%. The company had revenue of $14.06 billion for the quarter, compared to analysts’ expectations of $14.12 billion. During the same period in the prior year, the company posted $1.34 EPS. The firm’s revenue was up 8.6% compared to the same quarter last year.

Oracle Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, January 23rd. Investors of record on Thursday, January 9th will be issued a $0.40 dividend. This represents a $1.60 annualized dividend and a yield of 0.90%. The ex-dividend date is Thursday, January 9th. Oracle’s dividend payout ratio (DPR) is presently 41.24%.

Wall Street Analysts Forecast Growth

ORCL has been the subject of several research analyst reports. Morgan Stanley upped their price objective on shares of Oracle from $145.00 to $175.00 and gave the company an “equal weight” rating in a research note on Tuesday. UBS Group upped their price objective on shares of Oracle from $200.00 to $210.00 and gave the company a “buy” rating in a research note on Tuesday. Bank of America upped their price objective on shares of Oracle from $155.00 to $175.00 and gave the company a “neutral” rating in a research note on Tuesday, September 10th. Citigroup upped their price objective on shares of Oracle from $157.00 to $194.00 and gave the company a “neutral” rating in a research note on Tuesday. Finally, Stifel Nicolaus increased their target price on shares of Oracle from $155.00 to $175.00 and gave the stock a “hold” rating in a research note on Tuesday. Twelve equities research analysts have rated the stock with a hold rating and eighteen have given a buy rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $181.48.

Insider Buying and Selling at Oracle

In related news, EVP Maria Smith sold 6,320 shares of Oracle stock in a transaction on Monday, September 16th. The shares were sold at an average price of $165.00, for a total transaction of $1,042,800.00. Following the transaction, the executive vice president now owns 42,889 shares in the company, valued at approximately $7,076,685. The trade was a 12.84 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. 42.20% of the stock is owned by company insiders.

Hedge Funds Weigh In On Oracle

Hedge funds and other institutional investors have recently made changes to their positions in the business. Fairway Wealth LLC bought a new stake in shares of Oracle during the 2nd quarter valued at about $27,000. POM Investment Strategies LLC bought a new stake in shares of Oracle during the 2nd quarter valued at about $30,000. Quest Partners LLC bought a new stake in shares of Oracle during the 2nd quarter valued at about $40,000. Reston Wealth Management LLC bought a new stake in shares of Oracle during the 3rd quarter valued at about $44,000. Finally, Avondale Wealth Management acquired a new position in Oracle during the 3rd quarter valued at about $51,000. Institutional investors and hedge funds own 42.44% of the company’s stock.

Oracle Price Performance

The company has a current ratio of 0.72, a quick ratio of 0.72 and a debt-to-equity ratio of 6.68. The business’s 50-day simple moving average is $179.76 and its 200 day simple moving average is $154.67. The company has a market capitalization of $494.08 billion, a P/E ratio of 45.81, a P/E/G ratio of 3.49 and a beta of 1.03.

About Oracle

Oracle Corporation offers products and services that address enterprise information technology environments worldwide. Its Oracle cloud software as a service offering include various cloud software applications, including Oracle Fusion cloud enterprise resource planning (ERP), Oracle Fusion cloud enterprise performance management, Oracle Fusion cloud supply chain and manufacturing management, Oracle Fusion cloud human capital management, Oracle Cerner healthcare, Oracle Advertising, and NetSuite applications suite, as well as Oracle Fusion Sales, Service, and Marketing.