Oracle (NYSE:ORCL) Trading Down 2.4% – Should You Sell?

Oracle Corporation (NYSE:ORCL)’s share price fell 2.4% during mid-day trading on Friday . The company traded as low as $139.26 and last traded at $140.6870. Approximately 26,532,952 shares traded hands during trading, a decline of 6% from the average daily volume of 28,253,941 shares. The stock had previously closed at $144.22.

Trending Headlines about Oracle

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Oracle’s record AI backlog and expanding cloud business continue to support the long-term growth narrative, with some analysts saying the stock still looks attractive despite the recent selloff. Article Title
• Positive Sentiment: Oracle reiterated a strong fiscal 2027 outlook, which helps reinforce optimism that cloud and AI demand can keep driving earnings growth. Article Title
• Positive Sentiment: Oracle launched new partnerships and innovation initiatives, including IMSA Labs and healthcare AI collaborations, showing continued momentum in applying OCI to new verticals. Article Title
• Positive Sentiment: Some market commentators and strategists remain bullish, arguing Oracle may be oversold and could rebound as investors refocus on AI spending trends and future earnings power. Article Title
• Neutral Sentiment: Articles on Oracle’s massive backlog note a concentration risk, suggesting the company has strong demand but still faces execution and customer-concentration questions. Article Title
• Negative Sentiment: S&P Global cut Oracle’s credit rating closer to junk, which increased concern about the company’s leverage and borrowing costs. Article Title
• Negative Sentiment: Investors are also focused on Oracle’s large debt burden, which is seen as a key risk if AI and data-center spending does not translate into cash flow quickly enough. Article Title
• Negative Sentiment: The stock has also been weak since its last earnings report, reflecting fading short-term momentum despite better-than-expected quarterly results. Article Title

Analyst Ratings Changes

Several equities research analysts have recently commented on the stock. Sanford C. Bernstein raised their target price on shares of Oracle from $319.00 to $325.00 and gave the stock an “outperform” rating in a research report on Thursday, June 11th. KeyCorp reiterated an “overweight” rating on shares of Oracle in a research report on Thursday, June 11th. UBS Group increased their price target on shares of Oracle from $250.00 to $285.00 and gave the stock a “buy” rating in a research note on Tuesday, June 2nd. Bank of America raised their price objective on shares of Oracle from $200.00 to $240.00 and gave the stock a “buy” rating in a report on Tuesday, June 9th. Finally, Mizuho set a $320.00 price objective on Oracle in a research report on Wednesday, June 3rd. Two research analysts have rated the stock with a Strong Buy rating, twenty-eight have issued a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $268.27.

Oracle Stock Down 2.4%

The stock’s 50-day moving average price is $183.53 and its two-hundred day moving average price is $172.08. The stock has a market capitalization of $405.24 billion, a PE ratio of 24.13, a P/E/G ratio of 0.88 and a beta of 1.72. The company has a debt-to-equity ratio of 3.21, a quick ratio of 1.12 and a current ratio of 1.12.

Oracle (NYSE:ORCL) last issued its quarterly 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 during the quarter, compared to analyst estimates of $19.10 billion. During the same period last year, the business earned $1.70 EPS. Oracle’s quarterly revenue was up 20.6% compared to the same quarter last year. Oracle has set its Q1 2027 guidance at 1.720-1.760 EPS and its FY 2027 guidance at 8.050-8.050 EPS. As a group, analysts expect that Oracle Corporation will post 6.46 EPS for the current fiscal year.

Oracle Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, July 24th. Shareholders of record on Friday, July 10th will be paid a dividend of $0.50 per share. The ex-dividend date of this dividend is Friday, July 10th. This represents a $2.00 dividend on an annualized basis and a dividend yield of 1.4%. Oracle’s dividend payout ratio (DPR) is currently 34.31%.

Insider Activity at Oracle

In other news, Vice Chairman Jeffrey Henley sold 400,000 shares of the business’s stock in a transaction that occurred on Wednesday, June 24th. The stock was sold at an average price of $159.16, for a total value of $63,664,000.00. Following the sale, the insider directly owned 400,000 shares of the company’s stock, valued at $63,664,000. The trade was a 50.00% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Stuart Levey sold 15,000 shares of the company’s stock in a transaction that occurred on Thursday, April 16th. The stock was sold at an average price of $176.19, for a total value of $2,642,850.00. Following the completion of the sale, the executive vice president owned 3,429 shares in the company, valued at $604,155.51. The trade was a 81.39% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 40.90% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Oracle

A number of institutional investors have recently modified their holdings of ORCL. FSA Wealth Management LLC bought a new stake in Oracle during the 3rd quarter valued at about $28,000. Mpwm Advisory Solutions LLC grew its stake in shares of Oracle by 76.9% in the third quarter. Mpwm Advisory Solutions LLC now owns 115 shares of the enterprise software provider’s stock worth $32,000 after acquiring an additional 50 shares during the period. Turning Point Benefit Group Inc. purchased a new position in shares of Oracle during the third quarter valued at approximately $35,000. HFM Investment Advisors LLC lifted its position in Oracle by 290.9% during the fourth quarter. HFM Investment Advisors LLC now owns 129 shares of the enterprise software provider’s stock valued at $25,000 after purchasing an additional 96 shares during the period. Finally, Basepoint Wealth LLC bought a new position in Oracle during the fourth quarter valued at approximately $26,000. 42.44% of the stock is owned by hedge funds and other institutional investors.

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.