Bowie Capital Management LLC Makes New Investment in Oracle Corporation (NYSE:ORCL)

Key Points

• Bowie Capital Management LLC acquired 102,999 shares of Oracle Corporation, worth approximately $14.4 million, during the first quarter, making it the firm's 22nd largest holding.
• Oracle reported a quarterly earnings per share of $1.70, exceeding analysts' expectations, with a revenue of $15.9 billion, up 11.3% year-over-year.
• The company announced a quarterly dividend of $0.50 per share, resulting in an annualized dividend yield of 0.8%, with a payout ratio of 46.08%.

Bowie Capital Management LLC bought a new position in shares of Oracle Corporation (NYSE:ORCL - Free Report) during the first quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm bought 102,999 shares of the enterprise software provider's stock, valued at approximately $14,400,000. Oracle comprises 0.7% of Bowie Capital Management LLC's holdings, making the stock its 22nd largest holding.

Other hedge funds and other institutional investors have also recently added to or reduced their stakes in the company. Redmont Wealth Advisors LLC bought a new stake in Oracle in the 1st quarter valued at approximately $27,000. Inlight Wealth Management LLC bought a new stake in Oracle in the 1st quarter valued at approximately $28,000. Iron Horse Wealth Management LLC lifted its stake in Oracle by 284.9% in the 1st quarter. Iron Horse Wealth Management LLC now owns 204 shares of the enterprise software provider's stock valued at $29,000 after acquiring an additional 151 shares in the last quarter. Sunbeam Capital Management LLC bought a new stake in Oracle in the 4th quarter valued at approximately $30,000. Finally, Mpwm Advisory Solutions LLC bought a new stake in Oracle in the 4th quarter valued at approximately $36,000. Institutional investors own 42.44% of the company's stock.

Oracle Stock Up 1.4%

ORCL stock opened at $248.48 on Friday. The stock's fifty day simple moving average is $230.54 and its two-hundred day simple moving average is $180.39. The company has a current ratio of 0.75, a quick ratio of 0.75 and a debt-to-equity ratio of 4.07. Oracle Corporation has a 1-year low of $118.86 and a 1-year high of $260.87. The stock has a market cap of $697.94 billion, a P/E ratio of 57.25, a P/E/G ratio of 3.66 and a beta of 1.43.

Oracle (NYSE:ORCL - Get Free Report) last posted its quarterly earnings data on Wednesday, June 11th. The enterprise software provider reported $1.70 earnings per share for the quarter, topping the consensus estimate of $1.64 by $0.06. Oracle had a return on equity of 87.34% and a net margin of 21.68%. The business had revenue of $15.90 billion for the quarter, compared to analysts' expectations of $15.58 billion. During the same quarter in the previous year, the firm earned $1.63 earnings per share. The business's revenue was up 11.3% on a year-over-year basis. Analysts expect that Oracle Corporation will post 5 EPS for the current year.

Oracle Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, July 24th. Stockholders of record on Thursday, 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 0.8%. The ex-dividend date of this dividend was Thursday, July 10th. Oracle's dividend payout ratio is currently 46.08%.

Analyst Ratings Changes

A number of equities research analysts have recently issued reports on the company. Royal Bank Of Canada upped their price objective on Oracle from $145.00 to $195.00 and gave the stock a "sector perform" rating in a research note on Thursday, June 12th. CIBC reaffirmed a "buy" rating on shares of Oracle in a report on Monday, June 9th. Loop Capital set a $135.00 price objective on Oracle in a report on Tuesday, June 10th. Citigroup raised Oracle from a "hold" rating to a "strong-buy" rating in a report on Friday, July 18th. Finally, Deutsche Bank Aktiengesellschaft restated a "buy" rating and set a $240.00 price objective (up from $200.00) on shares of Oracle in a research report on Thursday, June 12th. Nine analysts have rated the stock with a hold rating, twenty-three have issued a buy rating and three have issued a strong buy rating to the stock. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average target price of $227.04.

Insider Activity

In related news, Vice Chairman Jeffrey Henley sold 400,000 shares of the stock in a transaction dated Thursday, June 12th. The stock was sold at an average price of $190.42, for a total transaction of $76,168,000.00. Following the sale, the insider owned 1,097,576 shares of the company's stock, valued at approximately $209,000,421.92. This represents a 26.71% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Naomi O. Seligman sold 3,303 shares of the company's stock in a transaction dated Wednesday, July 16th. The stock was sold at an average price of $233.32, for a total value of $770,655.96. Following the completion of the transaction, the director owned 31,447 shares in the company, valued at $7,337,214.04. This represents a 9.51% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 444,183 shares of company stock worth $86,521,198. 42.20% of the stock is owned by company insiders.

Oracle Profile

Oracle Corporation offers products and services that address enterprise information technology environments worldwide. Its Oracle cloud software as a service offering include various cloud software applications, including Oracle Fusion cloud enterprise resource planning (ERP), Oracle Fusion cloud enterprise performance management, Oracle Fusion cloud supply chain and manufacturing management, Oracle Fusion cloud human capital management, Oracle Cerner healthcare, Oracle Advertising, and NetSuite applications suite, as well as Oracle Fusion Sales, Service, and Marketing.

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