Oracle Corporation $ORCL Position Raised by Investment Management Corp of Ontario

Key Points

• Investment Management Corp of Ontario nearly doubled its Oracle stake in Q4, buying an additional 73,086 shares to bring its total to 152,533 shares valued at about $29.7 million.
• Oracle recently posted better-than-expected quarterly results, with EPS of $2.11 and revenue of $19.18 billion, while revenue rose 20.6% year over year and the company issued upbeat guidance for fiscal 2027.
• Sentiment around Oracle remains mixed: analysts still rate it a Moderate Buy, but concerns persist over its cloud execution and leverage, especially after reports that Microsoft walked away from a possible cloud capacity deal.

Investment Management Corp of Ontario raised its stake in Oracle Corporation (NYSE:ORCL - Free Report) by 92.0% during the fourth quarter, according to its most recent disclosure with the SEC. The fund owned 152,533 shares of the enterprise software provider's stock after buying an additional 73,086 shares during the quarter. Investment Management Corp of Ontario's holdings in Oracle were worth $29,730,000 as of its most recent SEC filing.

A number of other hedge funds also recently added to or reduced their stakes in the stock. Janus Henderson Group PLC lifted its stake in Oracle by 8.6% in the fourth quarter. Janus Henderson Group PLC now owns 14,539,366 shares of the enterprise software provider's stock valued at $2,815,242,000 after buying an additional 1,148,698 shares during the last quarter. Evolve Private Wealth LLC bought a new stake in Oracle in the fourth quarter valued at $4,265,000. Ehrenkranz Partners L.P. bought a new stake in Oracle in the fourth quarter valued at $472,000. Engineers Gate Manager LP lifted its stake in Oracle by 20.8% in the fourth quarter. Engineers Gate Manager LP now owns 26,757 shares of the enterprise software provider's stock valued at $5,215,000 after buying an additional 4,612 shares during the last quarter. Finally, Capital Impact Advisors LLC lifted its stake in Oracle by 132.6% in the fourth quarter. Capital Impact Advisors LLC now owns 168,092 shares of the enterprise software provider's stock valued at $32,763,000 after buying an additional 95,823 shares during the last quarter. 42.44% of the stock is currently owned by institutional investors.

More Oracle News

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Oracle is still drawing support from its strong quarterly results and upbeat analyst reaction after reporting a double beat on earnings and revenue, reinforcing the view that cloud and AI demand remain solid. The Stock Market Is Underestimating the Massive Growth Potential of This Artificial Intelligence (AI) Giant That Could Easily Become a $1 Trillion Company
• Positive Sentiment: Oracle announced new AI capabilities in OPERA Cloud and a new hybrid streaming architecture on OCI, highlighting continued product momentum and broader adoption of Oracle Cloud Infrastructure. New AI Capabilities in Oracle OPERA Cloud Supercharge Hotel Operations
• Positive Sentiment: Several articles pointed to Oracle as a trending or potentially undervalued AI/cloud name, with commentary that Wall Street still sees meaningful upside if Oracle can convert its large backlog into revenue. Oracle (ORCL) Has AI Demand. Now It Needs to Prove It Can Scale
• Neutral Sentiment: Oracle received additional visibility from business updates such as Lightpath using Oracle Cloud Scale Billing and Oracle’s executive speaking slot at an AI infrastructure panel, which may help sentiment but do not materially change fundamentals. Lightpath Monetizes Digital Services and Powers AI-Driven Innovation with Oracle
• Negative Sentiment: Investor caution remains high after reports that Microsoft walked away from a potential multibillion-dollar Oracle cloud capacity deal, raising concerns about the pace and quality of Oracle’s cloud expansion. Microsoft's cloud infrastructure talks with Oracle collapse, Business Insider reports
• Negative Sentiment: Bearish commentary also focused on Oracle’s leverage and the risks of its hyperscaler strategy, with some analysts arguing the market is underestimating debt and execution challenges. Oracle's Massive Debt Problem

Analyst Ratings Changes

A number of equities research analysts have issued reports on ORCL shares. Robert W. Baird cut their target price on Oracle from $300.00 to $200.00 and set an "outperform" rating on the stock in a research note on Tuesday, March 10th. Jefferies Financial Group cut their target price on Oracle from $400.00 to $320.00 and set a "buy" rating on the stock in a research note on Thursday, March 5th. Monness Crespi & Hardt reiterated a "hold" rating on shares of Oracle in a research note on Wednesday, March 11th. Scotiabank reiterated an "overweight" rating on shares of Oracle in a research note on Thursday, June 11th. Finally, Guggenheim reiterated a "buy" rating and issued a $400.00 target price on shares of Oracle in a research note on Thursday, June 11th. Two investment analysts have rated the stock with a Strong Buy rating, twenty-eight have issued a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average target price of $268.27.

Insider Transactions at Oracle

In related news, EVP Stuart Levey sold 15,000 shares of Oracle stock in a transaction dated Thursday, April 16th. The stock was sold at an average price of $176.19, for a total transaction of $2,642,850.00. Following the transaction, the executive vice president directly owned 3,429 shares of the company's stock, valued at $604,155.51. The trade was a 81.39% 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 currently owned by insiders.

Oracle Price Performance

Shares of NYSE ORCL opened at $183.31 on Thursday. Oracle Corporation has a fifty-two week low of $134.57 and a fifty-two week high of $345.72. The firm's 50-day simple moving average is $187.19 and its 200 day simple moving average is $177.46. The company has a quick ratio of 1.35, a current ratio of 1.12 and a debt-to-equity ratio of 2.84. The stock has a market cap of $527.20 billion, a P/E ratio of 31.44, a P/E/G ratio of 1.18 and a beta of 1.65.

Oracle (NYSE:ORCL - Get Free Report) last issued 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. Oracle had a net margin of 25.37% and a return on equity of 56.43%. The business had revenue of $19.18 billion for the quarter, compared to analysts' expectations of $19.10 billion. During the same period in the previous year, the business earned $1.70 earnings per share. The company's revenue 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. Equities analysts expect that Oracle Corporation will post 6.45 EPS for the current year.

Oracle Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, July 24th. Investors of record on Friday, July 10th will be issued a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a yield of 1.1%. The ex-dividend date of this dividend is Friday, July 10th. Oracle's payout ratio is presently 34.31%.

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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