Oracle (NYSE:ORCL) Stock Falls 3.2% on Insider Selling

Shares of Oracle Corporation (NYSE:ORCL) fell 3.2% during mid-day trading on Wednesday after an insider sold shares in the company. The company traded as low as $144.23 and last traded at $144.4390. 22,069,224 shares changed hands during trading, a decline of 25% from the average session volume of 29,318,178 shares. The stock had previously closed at $149.20.

Specifically, CEO Michael Sicilia sold 22,562 shares of the stock in a transaction that occurred on Tuesday, September 22nd. The shares were sold at an average price of $151.59, for a total transaction of $3,420,173.58. Following the transaction, the chief executive officer owned 182,929 shares of the company’s stock, valued at $27,730,207.11. This trade represents a 10.98% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Maria Smith sold 2,631 shares of Oracle stock in a transaction on Tuesday, September 22nd. The shares were sold at an average price of $151.70, for a total transaction of $399,122.70. Following the completion of the transaction, the executive vice president owned 64,357 shares in the company, valued at approximately $9,762,956.90. This trade represents a 3.93% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In other news, CEO Michael Sicilia sold 10,882 shares of the company’s stock in a transaction on Wednesday, September 16th. The stock was sold at an average price of $139.94, for a total transaction of $1,522,827.08. Following the completion of the sale, the chief executive officer directly owned 149,084 shares in the company, valued at $20,862,814.96. This represents a 6.80% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Analysts Set New Price Targets

A number of research analysts recently weighed in on the company. Guggenheim reiterated a “buy” rating and issued a $400.00 target price on shares of Oracle in a report on Tuesday, September 8th. Piper Sandler upped their price target on Oracle from $210.00 to $225.00 and gave the stock an “overweight” rating in a research note on Thursday, June 11th. Freedom Broker cut their price objective on Oracle from $210.00 to $205.00 and set a “buy” rating on the stock in a report on Monday, September 14th. Citigroup reaffirmed a “market outperform” rating on shares of Oracle in a research note on Friday, September 11th. Finally, Royal Bank Of Canada dropped their target price on shares of Oracle from $190.00 to $165.00 and set a “sector perform” rating for the company in a research report on Friday, September 11th. Two analysts have rated the stock with a Strong Buy rating, thirty have given a Buy rating and eight have given a Hold rating to the company. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $254.68.

Key Oracle News

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Oracle says its 2.4-gigawatt fuel-cell agreement with Bloom Energy remains intact, despite issuing a force majeure notice connected to the project. The reassurance reduces concerns that the contract has been canceled and helped stabilize sentiment among AI infrastructure suppliers. Oracle reaffirms Bloom Energy contract
• Positive Sentiment: Analysts including Stifel and William Blair have maintained bullish ratings, viewing the Project Jupiter setback as potentially temporary. Oracle’s strong cloud demand, roughly 30% recent revenue growth, and large remaining performance obligation continue to support the long-term growth case. Wall Street Oracle price target
• Neutral Sentiment: Oracle’s Japan business reported record fiscal first-quarter results, with sales up 13% and cloud revenue up 31.7%. The performance confirms continued demand for Oracle’s products but does not directly resolve concerns about the U.S. parent’s AI infrastructure spending. Oracle Japan earnings
• Negative Sentiment: The force majeure notice could allow Oracle to defer payments if Project Jupiter misses its 2028 completion target. Investors interpret the move as evidence of regulatory, pipeline, power-supply, and construction risks, even though Oracle says the facility remains on schedule. Oracle Project Jupiter force majeure notice
• Negative Sentiment: Concerns are spreading to Oracle’s balance sheet. Heavy AI capital spending, negative free cash flow, rising borrowing costs, and record-high credit-default-swap spreads have raised doubts about how quickly Oracle can convert its AI backlog into profitable cash flow. Oracle credit concerns

Oracle Price Performance

The company has a 50-day moving average price of $142.70 and a two-hundred day moving average price of $160.24. The company has a debt-to-equity ratio of 1.89, a current ratio of 1.17 and a quick ratio of 1.17. The company has a market cap of $417.93 billion, a PE ratio of 21.66, a P/E/G ratio of 1.06 and a beta of 1.74.

Oracle (NYSE:ORCL) last announced its earnings results on Thursday, September 10th. The enterprise software provider reported $1.92 EPS for the quarter, beating the consensus estimate of $1.74 by $0.18. The business had revenue of $19.34 billion for the quarter, compared to the consensus estimate of $19.13 billion. Oracle had a return on equity of 48.85% and a net margin of 26.36%.The company’s revenue was up 29.6% on a year-over-year basis. During the same period last year, the business posted $1.47 EPS. Oracle has set its Q2 2027 guidance at 1.850-1.930 EPS and its FY 2027 guidance at 8.100-8.100 EPS. Sell-side analysts expect that Oracle Corporation will post 6.67 earnings per share for the current fiscal year.

Oracle Dividend Announcement

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

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the company. Geode Capital Management LLC lifted its stake in shares of Oracle by 1.8% in the fourth quarter. Geode Capital Management LLC now owns 37,734,944 shares of the enterprise software provider’s stock worth $7,328,754,000 after acquiring an additional 665,374 shares in the last quarter. Capital Research Global Investors grew its stake in Oracle by 29.3% during the 4th quarter. Capital Research Global Investors now owns 30,137,126 shares of the enterprise software provider’s stock valued at $5,874,070,000 after purchasing an additional 6,826,299 shares in the last quarter. Norges Bank purchased a new stake in Oracle during the 4th quarter worth approximately $4,336,031,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its position in shares of Oracle by 0.8% in the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 14,680,278 shares of the enterprise software provider’s stock valued at $2,151,395,000 after purchasing an additional 123,294 shares in the last quarter. Finally, Janus Henderson Group PLC raised its position in shares of Oracle by 8.6% in the 4th quarter. Janus Henderson Group PLC now owns 14,539,366 shares of the enterprise software provider’s stock valued at $2,815,242,000 after purchasing an additional 1,148,698 shares in the last quarter. 42.44% of the stock is currently owned by hedge funds and other institutional investors.

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.