First Trust Advisors LP Grows Position in Oracle Corporation $ORCL

Key Points

• First Trust Advisors LP boosted its Oracle stake by 23.3% in Q1, adding 685,570 shares and ending with 3,633,070 shares valued at about $534.5 million.
• Oracle continues to draw mixed investor and analyst attention: some see upside from its AI and cloud backlog, while others worry about heavy AI spending, rising debt, and credit risk, which has climbed to an 18-year high.
• The company reported stronger-than-expected quarterly results, with EPS of $2.11 and revenue up 20.6% year over year, and it also announced a quarterly dividend of $0.50 per share.

First Trust Advisors LP increased its stake in Oracle Corporation (NYSE:ORCL - Free Report) by 23.3% in the first quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 3,633,070 shares of the enterprise software provider's stock after purchasing an additional 685,570 shares during the quarter. First Trust Advisors LP owned 0.13% of Oracle worth $534,461,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also recently made changes to their positions in the stock. Brighton Jones LLC increased its holdings in Oracle by 189.3% in the fourth quarter. Brighton Jones LLC now owns 153,580 shares of the enterprise software provider's stock valued at $25,593,000 after buying an additional 100,494 shares in the last quarter. Revolve Wealth Partners LLC boosted its stake in shares of Oracle by 8.1% during the 4th quarter. Revolve Wealth Partners LLC now owns 5,418 shares of the enterprise software provider's stock worth $903,000 after acquiring an additional 404 shares in the last quarter. Sivia Capital Partners LLC grew its holdings in shares of Oracle by 21.5% in the 2nd quarter. Sivia Capital Partners LLC now owns 4,348 shares of the enterprise software provider's stock worth $951,000 after acquiring an additional 768 shares during the period. United Bank increased its stake in Oracle by 6.8% in the 2nd quarter. United Bank now owns 15,038 shares of the enterprise software provider's stock valued at $3,288,000 after purchasing an additional 963 shares in the last quarter. Finally, Schnieders Capital Management LLC. increased its stake in Oracle by 19.2% in the 2nd quarter. Schnieders Capital Management LLC. now owns 52,856 shares of the enterprise software provider's stock valued at $11,556,000 after purchasing an additional 8,530 shares in the last quarter. Institutional investors and hedge funds own 42.44% of the company's stock.

Key Stories Impacting Oracle

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Mizuho said Oracle still offers one of the most attractive risk/reward setups in its coverage, highlighting sizable upside potential and supporting the recent rebound in the stock. ORCL Stock Gains Nearly 4% — Why Mizuho Sees 164% Upside Despite Oracle’s 38% YTD Slump
• Positive Sentiment: Several notes say Oracle is technically oversold after a sharp drop, suggesting the selling pressure may be exhausted and a trend reversal could be starting. Oracle (ORCL) Loses 30.7% in 4 Weeks, Here's Why a Trend Reversal May be Around the Corner
• Positive Sentiment: Analysts remain constructive on Oracle’s long-term AI and cloud outlook, citing its massive backlog as a possible offset to short-term balance-sheet worries. Oracle's Credit Risk Nears an 18-Year High: Can AI Backlog Save Stock?
• Neutral Sentiment: Broader market commentary says the AI/momentum selloff may be nearing its end, which could help Oracle if investors rotate back into beaten-down cloud and semiconductor names. Oracle Corp. (ORCL) Price Forecast: Can Oversold Conditions Fuel a Powerful Rebound?
• Negative Sentiment: Investor concern remains high over Oracle’s heavy AI spending, rising debt, and dependence on a concentrated set of AI customers, which has pushed credit risk to an 18-year high and weighed on the shares. Oracle Is One Step From Junk—Can It Afford the AI Boom?
• Negative Sentiment: Wisconsin’s decision to uphold a collateral requirement tied to Oracle’s AI data-center plans added to funding worries and reinforced concerns that the company may need substantial capital to support its buildout. Oracle Faces $7 Billion Wisconsin Collateral Bill

Oracle Stock Performance

Shares of NYSE:ORCL opened at $127.13 on Wednesday. The business has a 50-day moving average of $174.66 and a two-hundred day moving average of $168.27. The firm has a market capitalization of $366.19 billion, a PE ratio of 21.81, a P/E/G ratio of 0.76 and a beta of 1.72. 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 Corporation has a 12 month low of $120.03 and a 12 month high of $345.72.

Oracle (NYSE:ORCL - Get Free Report) last issued its earnings results on Wednesday, June 10th. The enterprise software provider reported $2.11 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.96 by $0.15. Oracle had a return on equity of 58.62% and a net margin of 25.37%.The business had revenue of $19.18 billion during the quarter, compared to analysts' expectations of $19.10 billion. During the same quarter in the previous year, the business earned $1.70 EPS. The company's revenue for the quarter was up 20.6% on a year-over-year basis. 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, research analysts forecast that Oracle Corporation will post 6.47 earnings per share for the current year.

Oracle Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, July 24th. Shareholders of record on Friday, July 10th will be given a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a yield of 1.6%. The ex-dividend date of this dividend is Friday, July 10th. Oracle's payout ratio is 34.31%.

Insider Transactions at Oracle

In other Oracle news, Vice Chairman Jeffrey Henley sold 400,000 shares of the business's stock in a transaction that occurred 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 completion of the sale, the insider directly owned 400,000 shares in the company, valued at $63,664,000. The trade was a 50.00% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 40.90% of the stock is currently owned by corporate insiders.

Analysts Set New Price Targets

Several research analysts recently issued reports on the company. Cantor Fitzgerald restated an "overweight" rating and set a $284.00 price objective on shares of Oracle in a research report on Thursday, June 11th. Scotiabank reissued an "overweight" rating on shares of Oracle in a research report on Thursday, June 11th. Barclays boosted their price target on Oracle from $240.00 to $250.00 and gave the stock an "overweight" rating in a report on Thursday, June 11th. KeyCorp restated an "overweight" rating on shares of Oracle in a research report on Thursday, June 11th. Finally, Stephens reaffirmed an "equal weight" rating and set a $164.00 price objective on shares of Oracle in a research note on Thursday, June 11th. Two analysts have rated the stock with a Strong Buy rating, twenty-eight have given a Buy rating, eight have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, Oracle has an average rating of "Moderate Buy" and a consensus target price of $265.03.

Oracle Company 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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