Oracle Corporation (NYSE:ORCL) Given Average Rating of "Moderate Buy" by Brokerages

Key Points

• Oracle has a consensus analyst rating of “Moderate Buy” from 38 research firms, with an average 12-month price target of about $268.27. Recent notes from firms like TD Cowen and Moffett Nathanson show a wide range of views, but overall sentiment remains positive.
• The company’s latest earnings beat expectations, reporting $2.11 EPS versus the $1.96 consensus and revenue of $19.18 billion, up 20.6% year over year. Oracle also issued guidance for fiscal 2027 and announced a quarterly dividend of $0.50 per share.
• Despite the upbeat fundamentals, Oracle shares were trading sharply lower, and investors are watching concerns around its AI data-center spending and potential pressure on profitability and cash flow. Recent insider sales and the stock’s drop below key moving averages have added to near-term caution.

Oracle Corporation (NYSE:ORCL - Get Free Report) has earned a consensus rating of "Moderate Buy" from the thirty-eight research firms that are covering the firm, Marketbeat Ratings reports. One analyst has rated the stock with a sell rating, seven have issued a hold rating, twenty-eight have given a buy rating and two have assigned a strong buy rating to the company. The average twelve-month price objective among brokers that have issued a report on the stock in the last year is $268.2703.

ORCL has been the topic of a number of recent research reports. Moffett Nathanson set a $325.00 price objective on shares of Oracle in a report on Thursday, June 11th. Scotiabank restated an "overweight" rating on shares of Oracle in a report on Thursday, June 11th. Morgan Stanley reaffirmed a "mixed" rating on shares of Oracle in a research report on Thursday, June 11th. TD Cowen lifted their price target on shares of Oracle from $250.00 to $300.00 and gave the company a "buy" rating in a research note on Monday, June 8th. Finally, Stephens reissued an "equal weight" rating and set a $164.00 price target on shares of Oracle in a research report on Thursday, June 11th.

Insider Activity

In related news, Vice Chairman Jeffrey Henley sold 400,000 shares of the company's stock in a transaction dated Wednesday, June 24th. The stock was sold at an average price of $159.16, for a total transaction of $63,664,000.00. Following the sale, the insider owned 400,000 shares in the company, valued at approximately $63,664,000. This represents a 50.00% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Stuart Levey sold 15,000 shares of the 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 transaction, the executive vice president directly owned 3,429 shares of the company's stock, valued at $604,155.51. This trade represents a 81.39% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 40.90% of the company's stock.

Hedge Funds Weigh In On Oracle

Several hedge funds and other institutional investors have recently made changes to their positions in ORCL. HFM Investment Advisors LLC raised its holdings 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 valued at $25,000 after purchasing an additional 96 shares during the period. Basepoint Wealth LLC bought a new position in Oracle during the fourth quarter worth about $26,000. FSA Wealth Management LLC bought a new position in Oracle during the third quarter worth about $28,000. Osbon Capital Management LLC acquired a new position in Oracle during the fourth quarter worth approximately $28,000. Finally, Joseph Group Capital Management acquired a new position in Oracle during the fourth quarter worth approximately $29,000. 42.44% of the stock is owned by institutional investors.

Oracle Stock Down 2.3%

NYSE:ORCL opened at $143.20 on Thursday. The stock has a 50-day simple moving average of $187.68 and a 200 day simple moving average of $173.93. Oracle has a 52-week low of $134.57 and a 52-week high of $345.72. The company has a market cap of $412.49 billion, a PE ratio of 24.56, a PEG ratio of 0.92 and a beta of 1.72. The company has a debt-to-equity ratio of 3.21, a quick ratio of 1.12 and a current ratio of 1.12.

Oracle (NYSE:ORCL - Get Free Report) last released its earnings results on Wednesday, June 10th. The enterprise software provider reported $2.11 EPS for the quarter, beating the consensus estimate of $1.96 by $0.15. Oracle had a return on equity of 58.62% and a net margin of 25.37%.The firm had revenue of $19.18 billion for the quarter, compared to analysts' expectations of $19.10 billion. During the same quarter in the previous year, the business posted $1.70 EPS. The business's quarterly 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. On average, sell-side analysts expect that Oracle will post 6.45 EPS for the current fiscal year.

Oracle Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, July 24th. Investors of record on Friday, July 10th will be given a $0.50 dividend. The ex-dividend date of this dividend is Friday, July 10th. This represents a $2.00 dividend on an annualized basis and a dividend yield of 1.4%. Oracle's payout ratio is currently 34.31%.

Key Headlines Impacting Oracle

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Oracle is getting fresh support from analysts, with William Blair adding the stock to its Conviction List and KeyBanc reiterating confidence in Oracle’s AI cloud expansion. Both notes suggest investors may be underestimating the company’s growth runway in cloud infrastructure and AI-related spending. Oracle (ORCL) Stock Gains Momentum After Inclusion on William Blair’s Conviction List
• Positive Sentiment: Oracle’s recent product announcements, including Fusion Agentic Applications and Oracle Manager Edge, highlight continued AI integration across cloud software, which could help support future revenue growth and customer adoption. Oracle Helps Organizations Scale Effective Leadership with Oracle Manager Edge
• Neutral Sentiment: Several articles say Oracle is attracting investor attention as a possible bargain after its sharp pullback, with commentary focused on valuation, cloud momentum, and the possibility of a longer-term rebound if execution stays strong. Oracle (ORCL) Stock Still Looks Like A Bargain As Its 5 Year Return Hits 89%
• Negative Sentiment: Oracle is also facing investor concerns about the economics of its AI data-center buildout, including risks tied to profitability, capital spending, and free cash flow. That debate is weighing on sentiment even though cloud revenue growth remains strong. Oracle mulls AI data center-related risks, profitability in filing
• Negative Sentiment: Recent coverage also points to Oracle’s sharp stock slide and a difficult stretch for the shares, suggesting the market is still worried about heavy AI infrastructure spending and its impact on near-term margins and cash flow. Oracle stock's worst month since 1990: What's breaking Larry Ellison's empire?

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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