Oracle (NYSE:ORCL) Given Buy Rating at Argus

Key Points

• Argus reaffirmed its Buy rating on Oracle and set a $225 price target, implying nearly 50% upside from the prior close. Analysts overall maintain a “Moderate Buy” consensus with an average target of $255.24.
• Oracle exceeded quarterly expectations, reporting $1.92 in EPS versus $1.74 forecast and $19.34 billion in revenue versus $19.13 billion expected. Revenue increased 29.6% year over year, supported by continued cloud and AI demand.
• Investors remain focused on the cost of Oracle’s AI expansion, including heavy capital expenditures, financing needs and potential debt increases, which could delay free-cash-flow recovery despite strong growth.

Oracle (NYSE:ORCL - Get Free Report)'s stock had its "buy" rating restated by investment analysts at Argus in a research note issued to investors on Monday, Benzinga reports. They currently have a $225.00 target price on the enterprise software provider's stock. Argus' target price indicates a potential upside of 49.87% from the company's previous close.

A number of other research firms have also commented on ORCL. KeyCorp set a $285.00 price objective on Oracle in a research note on Friday. TD Cowen restated a "buy" rating and issued a $240.00 target price on shares of Oracle in a research note on Wednesday. Wedbush cut their price target on Oracle from $275.00 to $240.00 and set an "outperform" rating for the company in a report on Thursday, June 11th. Stifel Nicolaus reduced their price target on shares of Oracle from $220.00 to $200.00 and set a "buy" rating on the stock in a research report on Friday. Finally, Barclays increased their price objective on shares of Oracle from $250.00 to $252.00 and gave the stock an "overweight" rating in a report on Friday. Two investment analysts have rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating, nine have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $255.24.

Oracle Stock Performance

NYSE ORCL opened at $150.13 on Monday. The firm has a market cap of $432.45 billion, a price-to-earnings ratio of 23.53, a PEG ratio of 1.10 and a beta of 1.74. The company has a 50 day moving average of $141.08 and a 200-day moving average of $160.52. The company has a current ratio of 1.17, a quick ratio of 1.12 and a debt-to-equity ratio of 1.75. Oracle has a 1-year low of $114.50 and a 1-year high of $329.50.

Oracle (NYSE:ORCL - Get Free Report) last posted its earnings results on Thursday, September 10th. The enterprise software provider reported $1.92 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.74 by $0.18. The company had revenue of $19.34 billion during the quarter, compared to analysts' expectations of $19.13 billion. Oracle had a net margin of 26.36% and a return on equity of 47.43%. Oracle's quarterly revenue was up 29.6% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.47 earnings per share. 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, equities analysts forecast that Oracle will post 6.6 earnings per share for the current fiscal year.

Insider Activity

In related news, Vice Chairman Jeffrey Henley sold 400,000 shares of the firm's stock in a transaction dated 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 transaction, the insider owned 400,000 shares in the company, valued at $63,664,000. This trade represents a 50.00% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 40.90% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. Bullseye Investment Management LLC bought a new position in Oracle in the second quarter valued at approximately $1,676,000. Bouchey Financial Group Ltd. bought a new stake in shares of Oracle during the 2nd quarter valued at $229,000. Capstone Financial Advisors Inc. lifted its stake in shares of Oracle by 3.6% in the 2nd quarter. Capstone Financial Advisors Inc. now owns 1,809 shares of the enterprise software provider's stock valued at $265,000 after purchasing an additional 63 shares during the period. Van Hulzen Asset Management LLC boosted its position in shares of Oracle by 0.7% in the 2nd quarter. Van Hulzen Asset Management LLC now owns 11,815 shares of the enterprise software provider's stock worth $1,731,000 after purchasing an additional 81 shares during the last quarter. Finally, MCF Advisors LLC boosted its position in shares of Oracle by 3.4% in the 2nd quarter. MCF Advisors LLC now owns 20,411 shares of the enterprise software provider's stock worth $2,991,000 after purchasing an additional 677 shares during the last quarter. 42.44% of the stock is currently owned by institutional investors and hedge funds.

Oracle News Summary

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Oracle co-founder and CTO Larry Ellison canceled a plan to sell up to 50 million shares, worth approximately $7.5 billion. No shares were sold, and Oracle said Ellison has no other current plans to sell, removing a potential source of selling pressure and providing a vote of confidence from a major insider. Larry Ellison cancels plan to sell Oracle stock
• Positive Sentiment: Oracle’s AI infrastructure demand remains strong. Reports said the company delivered about 850 megawatts of AI capacity and added more than 300,000 GPUs in its latest quarter, while fleet utilization reached 97.9%—evidence that customers are using available capacity and supporting the company’s AI growth thesis. Oracle's AI Chips Ran 97.9% Utilized Last Quarter
• Positive Sentiment: Analyst support remains favorable. Barclays raised its Oracle price target to $252 and maintained an Overweight rating, citing strong fiscal first-quarter growth and improved funding conditions. Bank of America also reiterated a Buy rating despite acknowledging substantial AI-related spending. Barclays resets Oracle stock price target
• Neutral Sentiment: The Ellison announcement came only one day after a filing disclosed the planned sale. Although the cancellation is generally supportive for supply and insider-confidence concerns, the abrupt reversal has become a major focus for traders and may contribute to short-term volatility. Oracle Stock Drops on Surprising Larry Ellison Announcement
• Negative Sentiment: Investors remain concerned that Oracle’s AI buildout will require heavy capital expenditures, financing, and additional debt, potentially delaying free-cash-flow recovery. Those concerns have overshadowed the company’s earnings beat, 29.6% year-over-year revenue growth, and sizable AI backlog. BofA reiterates buy on a cloud giant burning through cash
• Negative Sentiment: Oracle is also being affected by a broad technology selloff, with chip and memory stocks falling sharply as Nasdaq futures weakened. While software shares benefited from easing AI-disruption fears, the wider risk-off environment has kept ORCL volatile. Intel, AMD, Marvell, Oracle, CrowdStrike, and More Stocks That Explain Today's Market

Oracle Company Profile

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.

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