Oracle (NYSE:ORCL) Stock Price Down 3.4% on Analyst Downgrade

Oracle Corporation (NYSE:ORCL) shares traded down 3.4% during mid-day trading on Tuesday after Scotiabank lowered their price target on the stock from $260.00 to $220.00. Scotiabank currently has a sector outperform rating on the stock. Oracle traded as low as $151.90 and last traded at $154.65. 42,937,506 shares changed hands during trading, an increase of 69% from the average session volume of 25,463,674 shares. The stock had previously closed at $160.06.

Other research analysts also recently issued research reports about the stock. Deutsche Bank Aktiengesellschaft reissued a “buy” rating and set a $375.00 target price on shares of Oracle in a research report on Wednesday, November 26th. Guggenheim reissued a “buy” rating and set a $400.00 price objective on shares of Oracle in a report on Thursday, December 11th. TD Cowen lowered their target price on Oracle from $400.00 to $350.00 and set a “buy” rating for the company in a report on Thursday, December 11th. Jefferies Financial Group reiterated a “buy” rating and issued a $400.00 price target on shares of Oracle in a report on Monday, January 5th. Finally, Sanford C. Bernstein decreased their price objective on Oracle from $364.00 to $339.00 and set an “outperform” rating for the company in a research note on Thursday, December 11th. Three research analysts have rated the stock with a Strong Buy rating, twenty-five have assigned a Buy rating, eleven have assigned a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $297.89.

Insider Activity at Oracle

In other Oracle news, insider Mark Hura sold 15,000 shares of the business’s stock in a transaction that occurred on Wednesday, December 24th. The shares were sold at an average price of $196.89, for a total transaction of $2,953,350.00. Following the sale, the insider owned 234,077 shares of the company’s stock, valued at approximately $46,087,420.53. The trade was a 6.02% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Naomi O. Seligman sold 2,223 shares of the firm’s stock in a transaction on Tuesday, December 23rd. The stock was sold at an average price of $196.61, for a total transaction of $437,064.03. Following the completion of the transaction, the director directly owned 25,596 shares of the company’s stock, valued at approximately $5,032,429.56. This represents a 7.99% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 62,223 shares of company stock valued at $12,136,764. Company insiders own 40.90% of the company’s stock.

Key Stories Impacting Oracle

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Large bond sale drew strong investor demand, easing some funding concerns — heavy demand for Oracle’s recent $25B bond issuance suggests the market can absorb sizable debt issuance. Oracle Stock (ORCL) Gains as $25B Bond Offering Attracts Heavy Demand
• Positive Sentiment: Some sell?side support remains — Barclays reiterated an Overweight rating and sees the financing plan as providing clarity that removes a key overhang on the stock. Barclays Reiterates Overweight on Oracle (ORCL) After Financing Update
• Positive Sentiment: Product/market progress: Oracle launched an “agentic” AI platform for banking, underlining revenue opportunities from AI-infused software and enterprise demand. Oracle Reimagines Banking for the AI Era with New Agentic Platform
• Neutral Sentiment: Big-picture infrastructure debate — coverage highlights Oracle’s plan to build gigawatt-scale data centers (and even behind?the?meter power like SMRs), reframing the raise as industrial infrastructure spending rather than pure tech capex; this validates demand but increases execution complexity. The Atomic Pivot: AI’s $50 Billion Power Move
• Neutral Sentiment: Analysts remain mixed-to-cautious but not uniformly bearish — some maintain moderate buy/sector outperform views while recalibrating targets after the fundraising announcement. Are Wall Street Analysts Predicting Oracle Stock Will Climb or Sink?
• Negative Sentiment: Shareholder litigation risk surfaced — Pomerantz announced an investigation into Oracle investor claims, adding potential legal overhang. Pomerantz Law Firm Investigates Claims on Behalf of Investors of Oracle Corporation – ORCL
• Negative Sentiment: Analyst target cut — Scotiabank trimmed its price target (from $260 to $220), signaling some sell?side concern about valuation and execution risk despite an overall sector?outperform view. ORCL Price Target Lowered by Scotiabank
• Negative Sentiment: Layoff/operational risk — reports that Oracle may cut up to ~30,000 roles to manage cash flow amplify investor worries over the scale of cost control measures and execution pain. Oracle may slash up to 30,000 jobs amid AI data centre funding challenges

Hedge Funds Weigh In On Oracle

Several hedge funds and other institutional investors have recently bought and sold shares of the business. FSA Wealth Management LLC purchased a new position in shares of Oracle during the 3rd quarter valued at about $28,000. Darwin Wealth Management LLC lifted its holdings in Oracle by 130.0% in the third quarter. Darwin Wealth Management LLC now owns 115 shares of the enterprise software provider’s stock valued at $32,000 after acquiring an additional 65 shares during the period. Mpwm Advisory Solutions LLC boosted its position in Oracle by 76.9% in the 3rd quarter. Mpwm Advisory Solutions LLC now owns 115 shares of the enterprise software provider’s stock worth $32,000 after purchasing an additional 50 shares in the last quarter. Turning Point Benefit Group Inc. acquired a new stake in shares of Oracle during the 3rd quarter worth approximately $35,000. Finally, Winnow Wealth LLC purchased a new position in shares of Oracle during the 2nd quarter valued at approximately $28,000. Institutional investors and hedge funds own 42.44% of the company’s stock.

Oracle Stock Performance

The firm’s 50 day moving average is $193.32 and its 200-day moving average is $236.79. The stock has a market capitalization of $444.33 billion, a price-to-earnings ratio of 29.07, a PEG ratio of 1.44 and a beta of 1.65. The company has a debt-to-equity ratio of 3.28, a quick ratio of 0.91 and a current ratio of 0.91.

Oracle (NYSE:ORCL) last issued its quarterly earnings data on Wednesday, December 10th. The enterprise software provider reported $2.26 earnings per share for the quarter, topping analysts’ consensus estimates of $1.64 by $0.62. Oracle had a net margin of 25.28% and a return on equity of 70.60%. The business had revenue of $16.06 billion during the quarter, compared to the consensus estimate of $16.19 billion. During the same quarter in the prior year, the firm posted $1.47 earnings per share. The company’s revenue was up 14.2% compared to the same quarter last year. Analysts forecast that Oracle Corporation will post 5 earnings per share for the current fiscal year.

Oracle Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, January 23rd. Stockholders of record on Friday, January 9th were given a $0.50 dividend. The ex-dividend date was Friday, January 9th. This represents a $2.00 dividend on an annualized basis and a dividend yield of 1.3%. Oracle’s payout ratio is 37.59%.

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.