Oracle (NYSE:ORCL) Stock Price Down 2% Following Insider Selling

Oracle Corporation (NYSE:ORCL) fell 2% during mid-day trading on Friday after an insider sold shares in the company. The company traded as low as $144.40 and last traded at $147.60. 38,485,695 shares changed hands during trading, an increase of 31% from the average session volume of 29,372,295 shares. The stock had previously closed at $150.59.

Specifically, CEO Michael Sicilia sold 10,882 shares of the firm’s stock in a transaction dated Wednesday, September 16th. The shares were sold at an average price of $139.94, for a total value of $1,522,827.08. Following the completion of the sale, the chief executive officer owned 149,084 shares of the company’s stock, valued at $20,862,814.96. This trade represents a 6.80% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Analyst Upgrades and Downgrades

A number of research analysts have recently commented 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 on the stock. Wedbush cut their price objective on Oracle from $275.00 to $240.00 and set an “outperform” rating on the stock in a research report on Thursday, June 11th. Argus reiterated a “buy” rating and issued a $225.00 target price on shares of Oracle in a research note on Monday. Cantor Fitzgerald reissued an “overweight” rating and set a $284.00 target price on shares of Oracle in a research note on Friday, September 11th. Finally, Bank of America upped their price target on shares of Oracle from $200.00 to $240.00 and gave the stock a “buy” rating in a report on Tuesday, June 9th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty have given a Buy rating, eight have given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average price target of $252.58.

More Oracle News

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Oracle’s reported $664 billion cloud backlog and approximately $30 billion in AI-related deals continue to support expectations for substantial future revenue growth. Analysts also point to the company’s strong recent earnings and cloud momentum as evidence that demand remains robust. Oracle Shares Climb Despite Layoffs as $30 Billion AI Deals Fuel Growth
• Positive Sentiment: Oracle Health won a new customer in San Juan Regional Medical Center, which will use Oracle’s technology to improve patient flow, bed management and operational visibility. The contract reinforces the company’s broader cloud and healthcare software opportunity. San Juan Regional Medical Center Teams with Oracle Health
• Neutral Sentiment: Technical commentary remains mixed: ORCL recently moved above its 20-day moving average and is building potential support near its 50-day average, but it remains below its 200-day average. This suggests a possible short-term rebound without confirming a lasting recovery. XLK, Oracle and AMD Forecast
• Negative Sentiment: Investors are increasingly concerned that Oracle is borrowing heavily and generating deeply negative free cash flow to build AI data-center capacity. Higher interest rates, large leases and questions about when the backlog will convert into cash are weighing on the stock’s valuation. Oracle, CoreWeave Dump on AI Financing Risks
• Negative Sentiment: Fresh layoffs and disclosures that Oracle’s internal AI rollout took longer than expected are raising concerns about execution and employee disruption. A CEO share sale also adds a modest negative signal, although it occurred under a pre-arranged Rule 10b5-1 plan. Oracle Executive Discusses Delayed Internal AI Rollout

Oracle Trading Down 2.0%

The stock’s 50 day moving average is $141.25 and its two-hundred day moving average is $160.45. The company has a market capitalization of $446.30 billion, a PE ratio of 23.13, a price-to-earnings-growth ratio of 1.02 and a beta of 1.74. The company has a quick ratio of 1.12, a current ratio of 1.17 and a debt-to-equity ratio of 1.89.

Oracle (NYSE:ORCL) last posted its earnings results on Thursday, September 10th. The enterprise software provider reported $1.92 EPS for the quarter, beating analysts’ consensus estimates of $1.74 by $0.18. Oracle had a net margin of 26.36% and a return on equity of 48.85%. The business had revenue of $19.34 billion for the quarter, compared to the consensus estimate of $19.13 billion. During the same quarter last year, the firm posted $1.47 EPS. The company’s revenue for the quarter was up 29.6% on a year-over-year basis. Oracle has set its Q2 2027 guidance at 1.850-1.930 EPS and its FY 2027 guidance at 8.100-8.100 EPS. As a group, sell-side analysts predict that Oracle Corporation will post 6.65 EPS for the current fiscal year.

Oracle Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, October 23rd. Investors of record on Friday, October 9th will be paid a $0.50 dividend. The ex-dividend date of this dividend is Friday, October 9th. This represents a $2.00 dividend on an annualized basis and a yield of 1.4%. Oracle’s payout ratio is 31.35%.

Institutional Trading of Oracle

A number of hedge funds have recently bought and sold shares of the stock. Sherman Asset Management Inc. lifted its position in Oracle by 5.5% in the first quarter. Sherman Asset Management Inc. now owns 1,054 shares of the enterprise software provider’s stock worth $155,000 after buying an additional 55 shares during the last quarter. Southern Capital Advisors LLC boosted its stake in shares of Oracle by 1.3% during the first quarter. Southern Capital Advisors LLC now owns 4,446 shares of the enterprise software provider’s stock valued at $654,000 after purchasing an additional 57 shares during the period. Global Financial Private Client LLC boosted its stake in shares of Oracle by 0.8% during the first quarter. Global Financial Private Client LLC now owns 7,836 shares of the enterprise software provider’s stock valued at $1,153,000 after purchasing an additional 59 shares during the period. Key Financial Inc grew its holdings in shares of Oracle by 0.4% in the first quarter. Key Financial Inc now owns 14,203 shares of the enterprise software provider’s stock worth $2,089,000 after purchasing an additional 62 shares during the last quarter. Finally, Gould Asset Management LLC CA increased its position in shares of Oracle by 2.0% during the first quarter. Gould Asset Management LLC CA now owns 3,172 shares of the enterprise software provider’s stock worth $467,000 after acquiring an additional 62 shares during the period. Hedge funds and other institutional investors own 42.44% of the company’s stock.

About Oracle

Oracle Corporation is a global enterprise technology company that develops and provides database software, cloud infrastructure, business applications and related technology services. Its offerings help organizations manage data, run applications, support business operations and build technology environments across on-premises, hybrid and cloud-based settings.

The company’s products include Oracle Database, MySQL, Java, Oracle Cloud Infrastructure and a broad portfolio of cloud applications for enterprise resource planning, financial management, human resources, supply chain management, customer experience and industry-specific operations.