Oracle (NYSE:ORCL) Stock Price Up 8.9% – Time to Buy?

Oracle Corporation (NYSE:ORCL) rose 8.9% during trading on Wednesday. The company traded as high as $130.77 and last traded at $128.4580. 38,022,799 shares were traded during trading, an increase of 24% from the average daily volume of 30,709,543 shares. The stock had previously closed at $117.98.

Key Oracle News

Here’s some of the latest news about ORCL:

• Positive Sentiment: Some analysts see the selloff as an opportunity, arguing Oracle’s AI prospects remain promising despite near-term cash-flow strain. That view could support the shares if cloud and AI demand translates into stronger returns. Article: Oracle Faces a Cash Crunch, but Its AI Bet Still Looks Promising
• Negative Sentiment: Oracle’s heavy investment in data centers is fueling cash-crunch concerns. The company’s AI opportunity may be substantial, but investors are focused on whether its spending and financing needs can be sustained. Article: Oracle Faces a Cash Crunch, but Its AI Bet Still Looks Promising
• Negative Sentiment: Microsoft is reportedly reassessing contracts with neocloud providers while building out its own data centers and AI accelerators. That shift raises concern about future demand for third-party computing capacity, including Oracle’s infrastructure. Article: Microsoft Just Piled Onto the Bad News for CoreWeave, Oracle, and Nebius

Analyst Ratings Changes

ORCL has been the topic of a number of analyst reports. Piper Sandler restated an “overweight” rating and set a $225.00 target price on shares of Oracle in a research report on Thursday, October 29th. DZ Bank reiterated a “buy” rating on shares of Oracle in a research note on Thursday, September 17th. Wells Fargo & Company reduced their target price on Oracle from $280.00 to $250.00 and set an “overweight” rating on the stock in a research report on Monday, October 26th. Weiss Ratings restated a “hold (c)” rating on shares of Oracle in a report on Friday, October 16th. Finally, Argus reissued a “buy” rating and issued a $225.00 target price on shares of Oracle in a research report on Monday, September 14th. One investment analyst has rated the stock with a Strong Buy rating, thirty-seven have issued a Buy rating, five have assigned a Hold rating and three have assigned 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 target price of $249.27.

Oracle Trading Down 1.3%

The business’s 50-day moving average is $137.24 and its two-hundred day moving average is $154.31. The stock has a market capitalization of $379.33 billion, a PE ratio of 19.62, a PEG ratio of 0.90 and a beta of 1.79. The company has a current ratio of 1.17, a quick ratio of 1.17 and a debt-to-equity ratio of 1.89.

Oracle (NYSE:ORCL) last announced its earnings results on Thursday, September 10th. The enterprise software provider reported $1.92 earnings per share for the quarter, beating the consensus estimate of $1.74 by $0.18. Oracle had a return on equity of 48.85% and a net margin of 26.36%. The company had revenue of $19.34 billion during the quarter, compared to the consensus estimate of $19.13 billion. During the same period last year, the firm earned $1.47 earnings per share. The company’s revenue 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. On average, analysts predict that Oracle Corporation will post 6.71 earnings per share for the current year.

Oracle Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, October 23rd. Investors of record on Friday, October 9th were given a dividend of $0.50 per share. This represents a $2.00 annualized dividend and a dividend yield of 1.6%. The ex-dividend date of this dividend was Friday, October 9th. Oracle’s dividend payout ratio is currently 31.35%.

Insider Buying and Selling

In other Oracle news, Director Stephen H. Rusckowski bought 25,000 shares of the company’s stock in a transaction on Tuesday, September 29th. The shares were bought at an average cost of $139.35 per share, with a total value of $3,483,750.00. Following the completion of the acquisition, the director owned 25,390 shares of the company’s stock, valued at approximately $3,538,096.50. This trade represents a 6,410.26% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Maria Smith sold 2,631 shares of Oracle stock in a transaction dated 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 directly owned 64,357 shares of the company’s stock, valued at $9,762,956.90. This trade represents a 3.93% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 36,075 shares of company stock worth $5,342,123 over the last ninety days. 38.40% of the stock is owned by insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. State Board of Administration of Florida Retirement System grew its holdings in shares of Oracle by 6.3% in the 3rd quarter. State Board of Administration of Florida Retirement System now owns 1,570,565 shares of the enterprise software provider’s stock worth $215,639,000 after acquiring an additional 93,458 shares during the last quarter. 49 Wealth Management LLC boosted its position in shares of Oracle by 31.1% in the 3rd quarter. 49 Wealth Management LLC now owns 10,069 shares of the enterprise software provider’s stock valued at $1,382,000 after purchasing an additional 2,389 shares during the period. Mosaic Family Wealth Partners LLC boosted its position in shares of Oracle by 5.7% in the 3rd quarter. Mosaic Family Wealth Partners LLC now owns 15,579 shares of the enterprise software provider’s stock valued at $2,139,000 after purchasing an additional 845 shares during the period. Buckland Partners Management Co LLC increased its position in shares of Oracle by 10.7% in the third quarter. Buckland Partners Management Co LLC now owns 8,300 shares of the enterprise software provider’s stock worth $1,140,000 after acquiring an additional 800 shares in the last quarter. Finally, Trivium Point Advisory LLC raised its holdings in shares of Oracle by 14.4% during the third quarter. Trivium Point Advisory LLC now owns 15,325 shares of the enterprise software provider’s stock valued at $2,104,000 after acquiring an additional 1,925 shares during the period. Institutional investors and hedge funds own 42.44% of the company’s stock.

About Oracle

Oracle Corporation is a technology company that develops and provides database software, cloud services, and enterprise applications. Its products help organizations manage data, run business operations, and build and deploy applications. Oracle’s offerings include Oracle Database, Oracle Cloud Infrastructure, and cloud-based applications for functions such as finance, human resources, supply chain management, and customer experience. The company also provides software support, consulting, and related services.