Cardano Risk Management B.V. Boosts Stake in Oracle Corporation $ORCL

Key Points

• Cardano Risk Management B.V. dramatically increased its Oracle stake by 882.3% in the fourth quarter, ending with 4.99 million shares valued at about $973 million.
• Oracle reported better-than-expected quarterly results, with EPS of $2.11 and revenue of $19.18 billion, while revenue rose 20.6% year over year. The company also guided to Q1 2027 EPS of 1.720-1.760 and FY 2027 EPS of 8.050.
• Despite the strong results, investors are worried about Oracle’s planned AI-related capital spending, which could reach $95 billion in FY2027 and may require roughly $40 billion in additional financing, raising leverage and dilution concerns.

Cardano Risk Management B.V. lifted its holdings in Oracle Corporation (NYSE:ORCL - Free Report) by 882.3% during the 4th quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 4,991,010 shares of the enterprise software provider's stock after buying an additional 4,482,934 shares during the period. Oracle makes up 1.0% of Cardano Risk Management B.V.'s holdings, making the stock its 28th biggest position. Cardano Risk Management B.V. owned 0.17% of Oracle worth $972,798,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also recently modified their holdings of ORCL. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its stake in Oracle by 9.2% during the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 13,477,803 shares of the enterprise software provider's stock worth $2,626,959,000 after purchasing an additional 1,137,264 shares during the period. Van Lanschot Kempen Investment Management N.V. raised its stake in Oracle by 39.6% during the fourth quarter. Van Lanschot Kempen Investment Management N.V. now owns 138,789 shares of the enterprise software provider's stock worth $27,051,000 after purchasing an additional 39,389 shares during the period. Korea Investment CORP raised its stake in Oracle by 7.1% during the fourth quarter. Korea Investment CORP now owns 1,402,684 shares of the enterprise software provider's stock worth $273,397,000 after purchasing an additional 93,002 shares during the period. Banco Santander S.A. raised its stake in Oracle by 24.3% during the fourth quarter. Banco Santander S.A. now owns 365,223 shares of the enterprise software provider's stock worth $71,186,000 after purchasing an additional 71,349 shares during the period. Finally, Cohen & Steers Inc. raised its stake in Oracle by 60.0% during the fourth quarter. Cohen & Steers Inc. now owns 800 shares of the enterprise software provider's stock worth $156,000 after purchasing an additional 300 shares during the period. 42.44% of the stock is owned by hedge funds and other institutional investors.

Oracle Price Performance

Oracle stock opened at $184.01 on Friday. The company has a debt-to-equity ratio of 2.84, a quick ratio of 1.35 and a current ratio of 1.12. The company has a market capitalization of $529.21 billion, a price-to-earnings ratio of 31.56, a price-to-earnings-growth ratio of 1.44 and a beta of 1.65. The company's 50 day simple moving average is $184.68 and its 200-day simple moving average is $177.93. Oracle Corporation has a 1 year low of $134.57 and a 1 year high of $345.72.

Oracle (NYSE:ORCL - Get Free Report) last announced its quarterly earnings data on Wednesday, June 10th. The enterprise software provider reported $2.11 earnings per share for the quarter, beating analysts' consensus estimates of $1.96 by $0.15. The firm had revenue of $19.18 billion during the quarter, compared to analysts' expectations of $19.10 billion. Oracle had a net margin of 25.37% and a return on equity of 56.43%. The business's quarterly revenue was up 20.6% compared to the same quarter last year. During the same quarter in the previous year, the business posted $1.70 earnings per share. Oracle has set its Q1 2027 guidance at 1.720-1.760 EPS and its FY 2027 guidance at 8.050-8.050 EPS. As a group, equities research analysts expect that Oracle Corporation will post 6.33 earnings per share for the current year.

Oracle Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, July 24th. Investors of record on Friday, July 10th will be issued a $0.50 dividend. The ex-dividend date is Friday, July 10th. This represents a $2.00 dividend on an annualized basis and a dividend yield of 1.1%. Oracle's payout ratio is 35.91%.

Analyst Upgrades and Downgrades

A number of brokerages have commented on ORCL. Scotiabank reaffirmed an "overweight" rating on shares of Oracle in a research note on Thursday. Cantor Fitzgerald reaffirmed an "overweight" rating and set a $284.00 target price on shares of Oracle in a research note on Thursday. Arete Research set a $255.00 target price on shares of Oracle and gave the stock a "buy" rating in a research note on Thursday, May 7th. UBS Group lifted their target price on shares of Oracle from $250.00 to $285.00 and gave the stock a "buy" rating in a research note on Tuesday, June 2nd. Finally, DA Davidson lifted their target price on shares of Oracle from $200.00 to $225.00 and gave the stock a "buy" rating in a research note on Thursday. Three analysts have rated the stock with a Strong Buy rating, twenty-eight have given a Buy rating, eight have issued a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, Oracle has an average rating of "Moderate Buy" and a consensus price target of $268.27.

Key Oracle News

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Oracle beat fiscal Q4 estimates, with adjusted EPS of $2.11 and revenue of $19.18 billion, while cloud infrastructure revenue jumped 93% year over year and the company cited a record $638 billion remaining performance obligation, signaling strong demand for its AI and cloud services.
• Positive Sentiment: The U.S. Office of Personnel Management awarded Oracle a $395.8 million federal HR modernization contract, expanding Oracle’s government cloud footprint and adding a new revenue stream tied to more than 2 million federal employees. Article Title
• Positive Sentiment: Several recent analyst notes remained bullish, with firms like Guggenheim, Piper Sandler, BMO Capital Markets, and Cantor Fitzgerald reiterating constructive ratings and higher price targets, suggesting Wall Street still sees upside despite the selloff.
• Neutral Sentiment: Zacks noted that the broader earnings revisions trend for 2026 has been improving, especially in Technology, which may support sentiment for Oracle and other software/cloud names.
• Negative Sentiment: Oracle’s stock fell sharply because management said AI-related capital expenditures will be far higher than expected, with FY2027 capex potentially reaching $95 billion and plans to raise about $40 billion more through debt and equity financing, raising concerns about dilution, leverage, and free cash flow.
• Negative Sentiment: Investors also reacted to warnings that margins may step down as Oracle ramps data-center buildout, while a cyber issue in PeopleSoft and reports of active exploitation added a small layer of operational risk. Article Title

Insider Buying and Selling at Oracle

In related news, EVP Stuart Levey sold 15,000 shares of Oracle stock in a transaction that occurred on Thursday, April 16th. The shares were sold at an average price of $176.19, for a total value of $2,642,850.00. Following the completion of the transaction, the executive vice president owned 3,429 shares in the company, valued at approximately $604,155.51. The trade was a 81.39% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 40.90% of the company's stock.

Oracle 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.

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