Associated Banc Corp Purchases New Holdings in Oracle Corporation $ORCL

Key Points

• Associated Banc Corp opened a new Oracle position, buying 6,552 shares worth about $900,000 in the third quarter. Institutional investors collectively own 42.44% of Oracle’s stock.
• Oracle’s latest reported quarter topped estimates: revenue rose 29.6% year over year to $19.34 billion, and earnings per share were $1.92 versus $1.74 expected. Shares opened at $123.82, well below their 50- and 200-day moving averages.
• Oracle faces scrutiny over AI investment and financing: a reported $7 billion chip-leasing deal with Tencent was scrapped amid U.S. government pressure, while a completed $20 billion financing package included share issuance and debt. UBS maintained a Buy rating, citing confidence in Oracle’s growth prospects.

Associated Banc Corp purchased a new position in shares of Oracle Corporation (NYSE:ORCL - Free Report) during the third quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor purchased 6,552 shares of the enterprise software provider's stock, valued at approximately $900,000.

Other hedge funds have also recently added to or reduced their stakes in the company. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its position in shares of Oracle by 0.8% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 14,680,278 shares of the enterprise software provider's stock valued at $2,151,395,000 after acquiring an additional 123,294 shares during the period. Bank of New York Mellon Corp grew its holdings in shares of Oracle by 3.0% during the 1st quarter. Bank of New York Mellon Corp now owns 13,251,059 shares of the enterprise software provider's stock worth $1,949,363,000 after purchasing an additional 384,984 shares in the last quarter. Amundi increased its position in shares of Oracle by 1.5% in the second quarter. Amundi now owns 9,878,184 shares of the enterprise software provider's stock worth $1,447,648,000 after purchasing an additional 144,087 shares during the period. Dimensional Fund Advisors LP increased its position in shares of Oracle by 1.7% in the first quarter. Dimensional Fund Advisors LP now owns 8,586,492 shares of the enterprise software provider's stock worth $1,262,827,000 after purchasing an additional 147,048 shares during the period. Finally, First Eagle Investment Management LLC lifted its position in Oracle by 1.0% during the second quarter. First Eagle Investment Management LLC now owns 8,516,878 shares of the enterprise software provider's stock worth $1,248,148,000 after purchasing an additional 81,700 shares during the period. Institutional investors own 42.44% of the company's stock.

Key Oracle News

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: UBS maintained its Buy rating and $250 price target, arguing that concerns about AI demand and supply are overstated. Oracle has also retained ambitious growth targets, including a $90 billion fiscal 2027 revenue goal. Oracle gets UBS backing as broker pushes back on AI demand concerns
• Neutral Sentiment: Oracle and Credo are working with the Open Compute Project community to standardize optical-transceiver telemetry, a technical collaboration that could support data-center operations but has no disclosed near-term financial impact. Credo and Oracle Advance Optical Transceiver Telemetry Standardization
• Negative Sentiment: Oracle reportedly scrapped a proposed five-year, roughly $7 billion chip-leasing agreement with Tencent after U.S. government pressure over Chinese access to advanced AI chips. The canceled deal removes a potential source of business and underscores regulatory limits on serving Chinese AI customers. Oracle abandons $7 billion Tencent AI deal under Trump pressure
• Negative Sentiment: Investors are also digesting Oracle’s completed $20 billion financing package: $10 billion from selling about 86.2 million shares at $116 each and $10 billion in notes with coupons ranging from 7% to 8.65%. The equity issuance dilutes shareholders, while borrowing costs heighten scrutiny of whether AI infrastructure spending will generate adequate returns. Oracle Completes $10 Billion Debt Offering Across Five Maturities

Insider Activity at Oracle

In other news, Director Stephen H. Rusckowski bought 25,000 shares of the stock in a transaction on Tuesday, September 29th. The stock was acquired at an average price of $139.35 per share, with a total value of $3,483,750.00. Following the acquisition, the director directly owned 25,390 shares in the company, valued at approximately $3,538,096.50. This trade represents a 6,410.26% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Michael D. Sicilia sold 22,562 shares of the stock in a transaction dated Tuesday, September 22nd. The shares were sold at an average price of $151.59, for a total value of $3,420,173.58. Following the completion of the transaction, the chief executive officer owned 182,929 shares of the company's stock, valued at $27,730,207.11. This represents a 10.98% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 36,075 shares of company stock valued at $5,342,123 in the last 90 days. 38.40% of the stock is owned by corporate insiders.

Oracle Trading Down 1.9%

Shares of Oracle stock opened at $123.82 on Thursday. The firm has a market capitalization of $374.39 billion, a PE ratio of 18.56, a price-to-earnings-growth ratio of 0.99 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. The firm's 50 day moving average is $140.51 and its 200 day moving average is $156.10. Oracle Corporation has a 1 year low of $114.50 and a 1 year high of $252.40.

Oracle (NYSE:ORCL - Get Free Report) last issued its quarterly earnings data on Thursday, September 10th. The enterprise software provider reported $1.92 EPS for the quarter, beating the consensus estimate of $1.74 by $0.18. Oracle had a net margin of 26.36% and a return on equity of 48.85%. The business had revenue of $19.34 billion during the quarter, compared to the consensus estimate of $19.13 billion. During the same quarter in the prior year, the firm earned $1.47 EPS. The firm's revenue was up 29.6% compared to the same quarter last year. Oracle has set its Q2 2027 guidance at 1.850-1.930 EPS and its FY 2027 guidance at 8.100-8.100 EPS. Equities research analysts forecast that Oracle Corporation will post 6.72 earnings per share for the current fiscal year.

Oracle Announces Dividend

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

Wall Street Analyst Weigh In

A number of equities research analysts have issued reports on ORCL shares. Jefferies Financial Group reiterated a "buy" rating and set a $290.00 price objective (down from $320.00) on shares of Oracle in a research note on Thursday, September 10th. Yorkville Ives began coverage on shares of Oracle in a research report on Wednesday, October 7th. They issued an "in-line" rating and a $155.00 target price for the company. CLSA assumed coverage on shares of Oracle in a report on Monday, July 20th. They set a "hold" rating and a $145.00 price target for the company. BTIG Research initiated coverage on shares of Oracle in a research report on Monday. They set a "buy" rating on the stock. Finally, Citigroup reissued a "market outperform" rating on shares of Oracle in a research note on Thursday, October 29th. One analyst has rated the stock with a Strong Buy rating, thirty-seven have issued a Buy rating, six have issued a Hold rating and three have given a Sell rating to the company. According to data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average target price of $249.27.

Oracle Company Profile

Oracle Corporation NYSE: ORCL is a global technology company that develops enterprise software, cloud infrastructure and database technologies. Its products help organizations store, manage, analyze and secure data, while supporting business operations across industries and geographies.

The company's offerings include Oracle Database, Java, Oracle Cloud Infrastructure and a broad portfolio of cloud-based applications. These applications serve functions such as enterprise resource planning, financial management, human resources, supply-chain management, customer experience and industry-specific operations.

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