Oracle (NYSE:ORCL) Shares Down 5.6% - Should You Sell?

Key Points

• Oracle's stock price dropped 5.6% during trading, closing at $291.28, following a significant increase in trading volume.
• A mix of analyst ratings emerged, with two analysts rating it as Strong Buy, while one issued a Sell rating with a target price of $175.00, leading to a consensus rating of "Moderate Buy."
• Oracle announced a $0.50 quarterly dividend to be paid on October 23rd, with a current dividend yield of 0.7% and a payout ratio of 46.30%.

Oracle Corporation (NYSE:ORCL - Get Free Report)'s stock price fell 5.6% during trading on Thursday . The company traded as low as $288.55 and last traded at $291.28. 38,382,744 shares traded hands during trading, an increase of 164% from the average session volume of 14,520,662 shares. The stock had previously closed at $308.46.

Analyst Ratings Changes

A number of brokerages have recently commented on ORCL. Deutsche Bank Aktiengesellschaft reiterated a "buy" rating and set a $240.00 price objective (up previously from $200.00) on shares of Oracle in a research report on Thursday, June 12th. Roth Capital reissued a "hold" rating on shares of Oracle in a research note on Wednesday, June 18th. Guggenheim upped their price target on shares of Oracle from $250.00 to $375.00 and gave the stock a "buy" rating in a research note on Wednesday, September 10th. Rothschild & Co Redburn started coverage on shares of Oracle in a research note on Thursday. They issued a "sell" rating and a $175.00 price target on the stock. Finally, UBS Group set a $300.00 target price on shares of Oracle in a research report on Wednesday, September 10th. Two analysts have rated the stock with a Strong Buy rating, twenty-five have issued a Buy rating, nine have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $298.06.

Oracle Trading Down 5.6%

The stock has a market cap of $827.73 billion, a P/E ratio of 67.43, a PEG ratio of 3.39 and a beta of 1.46. The company has a debt-to-equity ratio of 3.33, a current ratio of 0.62 and a quick ratio of 0.62. The business's 50 day simple moving average is $256.58 and its 200 day simple moving average is $198.50.

Oracle (NYSE:ORCL - Get Free Report) last announced its quarterly earnings results on Tuesday, September 9th. The enterprise software provider reported $1.47 EPS for the quarter, missing analysts' consensus estimates of $1.48 by ($0.01). The business had revenue of $14.93 billion for the quarter, compared to the consensus estimate of $15.04 billion. Oracle had a return on equity of 72.93% and a net margin of 21.08%.The firm's revenue for the quarter was up 12.2% on a year-over-year basis. During the same quarter in the prior year, the business earned $1.39 EPS. Oracle has set its Q2 2026 guidance at 1.270-1.310 EPS. On average, analysts expect that Oracle Corporation will post 5 earnings per share for the current fiscal year.

Oracle Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 23rd. Stockholders of record on Thursday, October 9th will be paid a $0.50 dividend. The ex-dividend date is Thursday, October 9th. This represents a $2.00 dividend on an annualized basis and a dividend yield of 0.7%. Oracle's payout ratio is 46.30%.

Insider Buying and Selling

In other news, Director Naomi O. Seligman sold 3,303 shares of Oracle stock in a transaction that occurred on Wednesday, July 16th. The shares were sold at an average price of $233.32, for a total value of $770,655.96. Following the completion of the transaction, the director owned 31,447 shares in the company, valued at approximately $7,337,214.04. The trade was a 9.51% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Michael D. Sicilia sold 33,845 shares of the business's stock in a transaction that occurred on Tuesday, September 23rd. The stock was sold at an average price of $321.16, for a total transaction of $10,869,660.20. Following the completion of the transaction, the insider owned 132,656 shares of the company's stock, valued at $42,603,800.96. This trade represents a 20.33% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 112,092 shares of company stock valued at $32,960,165 in the last ninety days. 42.20% of the stock is owned by corporate insiders.

Institutional Trading of Oracle

A number of institutional investors have recently bought and sold shares of the business. Snider Financial Group increased its holdings in shares of Oracle by 1.3% during the 2nd quarter. Snider Financial Group now owns 3,204 shares of the enterprise software provider's stock valued at $701,000 after purchasing an additional 40 shares in the last quarter. SNS Financial Group LLC increased its holdings in Oracle by 0.9% in the 2nd quarter. SNS Financial Group LLC now owns 4,896 shares of the enterprise software provider's stock worth $1,070,000 after acquiring an additional 42 shares in the last quarter. PKS Advisory Services LLC increased its holdings in Oracle by 1.9% in the 2nd quarter. PKS Advisory Services LLC now owns 2,211 shares of the enterprise software provider's stock worth $483,000 after acquiring an additional 42 shares in the last quarter. Reyes Financial Architecture Inc. increased its holdings in Oracle by 7.2% in the 2nd quarter. Reyes Financial Architecture Inc. now owns 643 shares of the enterprise software provider's stock worth $141,000 after acquiring an additional 43 shares in the last quarter. Finally, Creative Capital Management Investments LLC increased its holdings in Oracle by 5.7% in the 2nd quarter. Creative Capital Management Investments LLC now owns 798 shares of the enterprise software provider's stock worth $174,000 after acquiring an additional 43 shares in the last quarter. Institutional investors and hedge funds own 42.44% of the company's stock.

Oracle Company Profile

Oracle Corporation offers products and services that address enterprise information technology environments worldwide. Its Oracle cloud software as a service offering include various cloud software applications, including Oracle Fusion cloud enterprise resource planning (ERP), Oracle Fusion cloud enterprise performance management, Oracle Fusion cloud supply chain and manufacturing management, Oracle Fusion cloud human capital management, Oracle Cerner healthcare, Oracle Advertising, and NetSuite applications suite, as well as Oracle Fusion Sales, Service, and Marketing.

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