Oracle (NYSE:ORCL) Trading Up 3% – Time to Buy?

Oracle Corporation (NYSE:ORCL) was up 3% during mid-day trading on Friday . The company traded as high as $159.70 and last traded at $158.65. 26,127,163 shares were traded during mid-day trading, a decline of 9% from the average session volume of 28,719,047 shares. The stock had previously closed at $154.04.

Oracle News Roundup

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Oracle’s expanded, multi-year partnership with Hewlett Packard Enterprise (NYSE: HPE) calls for HPE Juniper networking equipment, routing, switching and support across Oracle’s global AI data centers. The agreement reinforces expectations for gigawatt-scale infrastructure expansion and potentially makes Oracle’s massive cloud backlog more achievable. HPE and Oracle Deepen Networking Collaboration
• Positive Sentiment: Investors are focused on Oracle’s reported $638 billion backlog and management’s target for roughly 58%–64% cloud growth. Converting more of that backlog into revenue would support the bullish view that AI contracts can accelerate Oracle’s cloud business. Oracle Jumps Before Its $638 Billion Backlog Faces Reality
• Positive Sentiment: Several analysts remain constructive despite recent target reductions. Jefferies maintained a Buy rating with a $290 target, while RBC reaffirmed Sector Perform with a $190 target, leaving substantial potential upside based on the cited share price. Oracle Stock Could Be Software’s Next Big Winner
• Neutral Sentiment: Options markets imply Oracle could move about 11% or more after earnings, highlighting unusually high event risk. Investors want evidence that heavy AI infrastructure spending is producing durable revenue growth and improving cash generation. Oracle Stock Could Swing 11% on Q1 Earnings
• Negative Sentiment: Oracle’s investment program is weighing on financial quality: fiscal 2026 free cash flow was reported at negative $23.7 billion, leverage is elevated, and the company may require substantial additional financing. S&P’s BBB- rating and the prospect of higher interest rates increase sensitivity to borrowing costs.
• Negative Sentiment: Analysts have trimmed some fair-value estimates, reflecting concerns about capital expenditures, debt, earnings quality and whether Oracle’s backlog can be converted profitably. The September 10 report and forward spending guidance are therefore critical tests of the AI-cloud strategy. Oracle Stock Gets Fair Value Trim

Wall Street Analyst Weigh In

Several research firms have recently weighed in on ORCL. Citigroup reiterated a “buy” rating on shares of Oracle in a research report on Wednesday, August 26th. Barclays boosted their target price on shares of Oracle from $240.00 to $250.00 and gave the company an “overweight” rating in a report on Thursday, June 11th. KeyCorp reiterated an “overweight” rating on shares of Oracle in a report on Thursday, June 11th. Scotiabank reissued an “overweight” rating on shares of Oracle in a research report on Thursday, June 11th. Finally, Wedbush dropped their price objective on Oracle from $275.00 to $240.00 and set an “outperform” rating on the stock in a research note on Thursday, June 11th. Two investment analysts have rated the stock with a Strong Buy rating, twenty-eight have assigned a Buy rating, nine have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $261.68.

Oracle Stock Up 3.0%

The firm’s fifty day moving average price is $139.73 and its two-hundred day moving average price is $160.31. The stock has a market cap of $456.99 billion, a price-to-earnings ratio of 27.21, a price-to-earnings-growth ratio of 1.18 and a beta of 1.74. The company has a debt-to-equity ratio of 3.21, a current ratio of 1.12 and a quick ratio of 1.12.

Oracle (NYSE:ORCL) last issued its earnings results on Wednesday, June 10th. The enterprise software provider reported $2.11 EPS for the quarter, beating the consensus estimate of $1.96 by $0.15. Oracle had a return on equity of 58.62% and a net margin of 25.37%.The company had revenue of $19.18 billion during the quarter, compared to the consensus estimate of $19.10 billion. During the same period last year, the business posted $1.70 EPS. The firm’s revenue for the quarter 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. Sell-side analysts forecast that Oracle Corporation will post 6.49 earnings per share for the current fiscal year.

Oracle Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, July 24th. Stockholders of record on Friday, July 10th were given a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a dividend yield of 1.3%. The ex-dividend date of this dividend was Friday, July 10th. Oracle’s dividend payout ratio is presently 34.31%.

Insider Transactions at Oracle

In other Oracle news, Vice Chairman Jeffrey Henley sold 400,000 shares of the company’s stock in a transaction on Wednesday, June 24th. The shares were sold at an average price of $159.16, for a total transaction of $63,664,000.00. Following the transaction, the insider owned 400,000 shares in the company, valued at approximately $63,664,000. This represents a 50.00% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 40.90% of the company’s stock.

Hedge Funds Weigh In On Oracle

A number of hedge funds have recently added to or reduced their stakes in the stock. FSA Wealth Management LLC bought a new stake in Oracle during the third quarter worth $28,000. Mpwm Advisory Solutions LLC lifted its stake in Oracle by 76.9% during the 3rd quarter. Mpwm Advisory Solutions LLC now owns 115 shares of the enterprise software provider’s stock valued at $32,000 after acquiring an additional 50 shares in the last quarter. Turning Point Benefit Group Inc. purchased a new position in Oracle during the 3rd quarter worth $35,000. HFM Investment Advisors LLC boosted its holdings in Oracle by 290.9% during the 4th quarter. HFM Investment Advisors LLC now owns 129 shares of the enterprise software provider’s stock worth $25,000 after acquiring an additional 96 shares during the last quarter. Finally, Basepoint Wealth LLC bought a new stake in shares of Oracle in the 4th quarter worth $26,000. Institutional investors and hedge funds own 42.44% of the company’s stock.

About Oracle

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.