USS Investment Management Ltd Increases Position in Oracle Corporation $ORCL

Key Points

• USS Investment Management Ltd increased its Oracle stake by 1.2% in the fourth quarter, holding 266,672 shares worth about $52 million at quarter-end.
• Oracle reported a strong fiscal Q4, beating expectations with $2.11 EPS and $19.18 billion in revenue, while cloud infrastructure revenue jumped 93% year over year and the company cited a record $638 billion backlog.
• The stock came under pressure after Oracle said AI-related capital spending will be much higher than expected, with FY2027 capex potentially reaching $95 billion and plans to raise about $40 billion in additional financing.

USS Investment Management Ltd grew its stake in Oracle Corporation (NYSE:ORCL - Free Report) by 1.2% during the fourth quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The firm owned 266,672 shares of the enterprise software provider's stock after acquiring an additional 3,292 shares during the quarter. USS Investment Management Ltd's holdings in Oracle were worth $51,985,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also made changes to their positions in the company. FSA Wealth Management LLC purchased a new position in shares of Oracle in the 3rd quarter valued at $28,000. Mpwm Advisory Solutions LLC boosted its position in shares of Oracle by 76.9% in the 3rd quarter. Mpwm Advisory Solutions LLC now owns 115 shares of the enterprise software provider's stock worth $32,000 after purchasing an additional 50 shares in the last quarter. Turning Point Benefit Group Inc. acquired a new stake in shares of Oracle in the 3rd quarter worth $35,000. HFM Investment Advisors LLC boosted its position in shares of Oracle by 290.9% in the 4th quarter. HFM Investment Advisors LLC now owns 129 shares of the enterprise software provider's stock worth $25,000 after purchasing an additional 96 shares in the last quarter. Finally, Basepoint Wealth LLC acquired a new stake in shares of Oracle in the 4th quarter worth $26,000. 42.44% of the stock is currently owned by hedge funds and other institutional investors.

Oracle News Roundup

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

Analyst Upgrades and Downgrades

A number of analysts have recently weighed in on the company. Weiss Ratings raised Oracle from a "hold (c)" rating to a "hold (c+)" rating in a research report on Friday, May 29th. Barclays raised their price objective on Oracle from $240.00 to $250.00 and gave the stock an "overweight" rating in a research report on Thursday. Oppenheimer raised their price objective on Oracle from $235.00 to $275.00 and gave the stock an "outperform" rating in a research report on Monday, June 8th. Bank of America raised their price objective on Oracle from $200.00 to $240.00 and gave the stock a "buy" rating in a research report on Tuesday, June 9th. Finally, UBS Group raised their price objective on Oracle from $250.00 to $285.00 and gave the stock a "buy" rating in a research report on Tuesday, June 2nd. Three analysts have rated the stock with a Strong Buy rating, twenty-eight have issued a Buy rating, eight have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $268.27.

Insider Buying and Selling at Oracle

In other Oracle 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 completion of the transaction, the executive vice president owned 3,429 shares in the company, valued at approximately $604,155.51. This trade represents a 81.39% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 40.90% of the company's stock.

Oracle Stock Performance

Shares of ORCL opened at $184.01 on Monday. The stock has a 50-day moving average of $184.68 and a two-hundred day moving average of $177.77. Oracle Corporation has a one year low of $134.57 and a one year high of $345.72. 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 stock has a market cap of $529.21 billion, a P/E ratio of 31.56, 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 results on Wednesday, June 10th. The enterprise software provider reported $2.11 EPS for the quarter, topping analysts' consensus estimates of $1.96 by $0.15. Oracle had a return on equity of 56.43% and a net margin of 25.37%.The company 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 firm posted $1.70 EPS. The firm's revenue was up 20.6% compared to the same quarter last year. 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 predict that Oracle Corporation will post 6.32 EPS for the current year.

Oracle Announces Dividend

The company 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. The ex-dividend date of this dividend is Friday, July 10th. This represents a $2.00 dividend on an annualized basis and a yield of 1.1%. Oracle's payout ratio is currently 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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