Oracle Corporation $ORCL Stock: Ascent Wealth Partners LLC Reduces Holdings

Key Points

• Ascent Wealth Partners cut its Oracle holdings by 84.2% in the third quarter, selling 34,316 shares and retaining 6,423 shares worth approximately $882,000. Hedge funds and institutional investors collectively own 42.44% of Oracle.
• Oracle is pursuing significant AI and cloud growth, including a $1 billion partner investment and continued primary cloud-provider status for TikTok’s U.S. operations. Analysts see upside from its roughly $664 billion backlog, though the company faces concerns over heavy data-center spending, negative free cash flow and rising borrowing costs.
• Oracle recently reported better-than-expected quarterly results, with revenue up 29.6% year over year, and pays a quarterly dividend of $0.50 per share. Wall Street maintains a “Moderate Buy” consensus, with an average price target of $248.75, well above the reported $126.10 share price.

Ascent Wealth Partners LLC decreased its holdings in Oracle Corporation (NYSE:ORCL - Free Report) by 84.2% during the third quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 6,423 shares of the enterprise software provider's stock after selling 34,316 shares during the period. Ascent Wealth Partners LLC's holdings in Oracle were worth $882,000 as of its most recent SEC filing.

A number of other hedge funds have also made changes to their positions in the stock. Persistent Asset Partners Ltd purchased a new stake in shares of Oracle during the second quarter worth $29,000. North Point Portfolio Managers Corp OH acquired a new stake in Oracle during the third quarter valued at $27,000. Markowski Investments purchased a new position in Oracle in the second quarter valued at about $32,000. Strengthening Families & Communities LLC grew its stake in Oracle by 231.3% in the third quarter. Strengthening Families & Communities LLC now owns 222 shares of the enterprise software provider's stock valued at $30,000 after purchasing an additional 155 shares in the last quarter. Finally, Fortress Financial Group LLC acquired a new position in Oracle in the 2nd quarter worth about $828,000. 42.44% of the stock is owned by hedge funds and other institutional investors.

Oracle News Roundup

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Oracle committed $1 billion over four years to its partner ecosystem, offering incentives, expertise and resources to expand AI-driven modernization projects. The investment could help generate additional cloud demand and broaden Oracle’s sales reach. Oracle Announces $1 Billion Investment to Accelerate Partner Growth and AI-Driven Modernization for Customers
• Positive Sentiment: TikTok’s U.S. operation is seeking multiple gigawatts of computing capacity and said Oracle Cloud Infrastructure will remain its primary U.S. provider. A large, continuing commitment from TikTok would support Oracle’s AI infrastructure utilization and cloud revenue outlook. TikTok U.S. hunts for multiple gigawatts of computing capacity
• Positive Sentiment: Analysts continue to identify significant upside if Oracle converts its roughly $664 billion backlog into revenue and earnings. Cantor Fitzgerald maintained an Overweight rating with a $284 target, while Erste Group modestly raised its FY2028 EPS estimate to $9.32. Could Oracle Actually Achieve 120% Upside?
• Neutral Sentiment: Oracle expanded its Marketplace with broader use of Universal Credits, new co-selling tools and additional purchasing options. The changes should make it easier for partners to sell through Oracle, although the financial impact will depend on adoption. Oracle Expands Marketplace to Unlock New Partner Growth Opportunities
• Neutral Sentiment: Oracle’s October 28 Investor Day is expected to provide more detail on OCI capacity expansion, applications growth, capital spending and financing. The event could be an important catalyst for the stock.
• Negative Sentiment: Investors remain concerned that Oracle is spending heavily on AI data centers while free cash flow is negative and borrowing costs are elevated. Reports that Oracle’s bond yields are approaching 9% have intensified fears that future AI growth may require expensive debt, equity issuance or customer prepayments. Oracle: Bond Yields Near 9%
• Negative Sentiment: Wedbush analyst Dan Ives described the current AI-related selloff as “SaaS Apocalypse 2.0” and said Oracle is in “the toughest spot,” reflecting market anxiety over valuation, execution and the profitability of its AI infrastructure buildout. Dan Ives Calls AI Sell-Off SaaS Apocalypse 2.0

Oracle Trading Up 0.4%

Oracle stock opened at $126.10 on Friday. The company has a debt-to-equity ratio of 1.89, a quick ratio of 1.17 and a current ratio of 1.17. The business's 50-day simple moving average is $143.07 and its 200-day simple moving average is $158.06. The firm has a market capitalization of $381.31 billion, a PE ratio of 19.77, a PEG ratio of 0.89 and a beta of 1.78. Oracle Corporation has a 52 week low of $114.50 and a 52 week high of $287.19.

Oracle (NYSE:ORCL - Get Free Report) last issued its quarterly earnings results on Thursday, September 10th. The enterprise software provider reported $1.92 EPS for the quarter, topping analysts' consensus estimates of $1.74 by $0.18. Oracle had a return on equity of 48.85% and a net margin of 26.36%. The company had revenue of $19.34 billion during the quarter, compared to analyst estimates of $19.13 billion. During the same period in the previous year, the company earned $1.47 earnings per share. The company's quarterly 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 6.73 earnings per share for the current year.

Oracle Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, October 23rd. Investors of record on Friday, October 9th were given a dividend of $0.50 per share. The ex-dividend date of this dividend was Friday, October 9th. This represents a $2.00 dividend on an annualized basis and a yield of 1.6%. Oracle's dividend payout ratio (DPR) is 31.35%.

Wall Street Analyst Weigh In

A number of research firms have recently weighed in on ORCL. Yorkville Ives began coverage on Oracle in a research note on Wednesday, October 7th. They set an "in-line" rating and a $155.00 price target for the company. Citizens Jmp restated a "market outperform" rating and issued a $285.00 price objective on shares of Oracle in a report on Friday, October 2nd. Royal Bank Of Canada cut their price objective on shares of Oracle from $190.00 to $165.00 and set a "sector perform" rating on the stock in a research report on Friday, September 11th. JPMorgan Chase & Co. reiterated a "buy" rating on shares of Oracle in a research note on Thursday, September 10th. Finally, Barclays boosted their target price on shares of Oracle from $250.00 to $252.00 and gave the stock an "overweight" rating in a research report on Friday, September 11th. One investment analyst has rated the stock with a Strong Buy rating, thirty-five have assigned a Buy rating, nine have given a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average target price of $248.75.

Insider Buying and Selling

In other Oracle news, EVP Maria Smith sold 2,631 shares of the company's stock in a transaction that occurred on Tuesday, September 22nd. The stock was sold at an average price of $151.70, for a total value of $399,122.70. Following the completion of the transaction, the executive vice president owned 64,357 shares of the company's stock, valued at $9,762,956.90. This represents a 3.93% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, Director Stephen H. Rusckowski acquired 25,000 shares of Oracle stock in a transaction on Tuesday, September 29th. The stock was purchased at an average price of $139.35 per share, with a total value of $3,483,750.00. Following the transaction, 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 position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have sold a total of 36,075 shares of company stock valued at $5,342,123 over the last three months. 38.40% of the stock is owned by corporate insiders.

About Oracle

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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