Oracle (NYSE:ORCL) Shares Gap Up Following Analyst Upgrade

Key Points

• Oracle shares surged after Berenberg Bank upgraded the price target from $202.00 to $306.00, opening at $306.45 after closing at $292.18.
• JMP Securities, Oppenheimer, KeyCorp, and Deutsche Bank have also raised their price targets and maintained positive ratings, with a consensus target price of $297.12.
• Oracle recently announced a quarterly dividend of $0.50, representing a 0.7% dividend yield, with the ex-dividend date set for October 9th.

Oracle Corporation (NYSE:ORCL - Get Free Report) gapped up prior to trading on Monday after Berenberg Bank raised their price target on the stock from $202.00 to $306.00. The stock had previously closed at $292.18, but opened at $306.45. Berenberg Bank currently has a hold rating on the stock. Oracle shares last traded at $303.91, with a volume of 8,641,855 shares trading hands.

Other research analysts have also issued research reports about the stock. JMP Securities raised their price target on shares of Oracle from $315.00 to $342.00 and gave the company a "market outperform" rating in a report on Wednesday, September 10th. Oppenheimer restated an "outperform" rating on shares of Oracle in a report on Wednesday, June 18th. KeyCorp raised their price target on shares of Oracle from $200.00 to $225.00 and gave the company an "overweight" rating in a report on Thursday, June 12th. Raymond James Financial reaffirmed a "strong-buy" rating on shares of Oracle in a research report on Wednesday, June 18th. Finally, Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating and issued a $240.00 price objective (up previously from $200.00) on shares of Oracle in a research report on Thursday, June 12th. Two analysts have rated the stock with a Strong Buy rating, twenty-five have given a Buy rating and nine have issued a Hold rating to the stock. According to data from MarketBeat, Oracle has an average rating of "Moderate Buy" and a consensus target price of $297.12.

Insider Activity

In other news, Director Rona Alison Fairhead bought 480 shares of the stock in a transaction that occurred on Monday, July 7th. The shares were purchased at an average cost of $233.87 per share, with a total value of $112,257.60. Following the completion of the acquisition, the director directly owned 22,110 shares in the company, valued at approximately $5,170,865.70. The trade was a 2.22% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, EVP Maria Smith sold 10,000 shares of Oracle stock in a transaction dated Thursday, July 3rd. The stock was sold at an average price of $232.99, for a total value of $2,329,900.00. Following the transaction, the executive vice president directly owned 40,807 shares in the company, valued at approximately $9,507,622.93. The trade was a 19.68% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 44,183 shares of company stock valued at $10,353,198 over the last quarter. Insiders own 42.20% of the company's stock.

Hedge Funds Weigh In On Oracle

Institutional investors have recently bought and sold shares of the stock. Brighton Jones LLC grew its stake in Oracle by 189.3% during the 4th quarter. Brighton Jones LLC now owns 153,580 shares of the enterprise software provider's stock valued at $25,593,000 after acquiring an additional 100,494 shares in the last quarter. Revolve Wealth Partners LLC grew its stake in Oracle by 8.1% during the 4th quarter. Revolve Wealth Partners LLC now owns 5,418 shares of the enterprise software provider's stock valued at $903,000 after acquiring an additional 404 shares in the last quarter. Toronto Dominion Bank grew its stake in Oracle by 15.2% during the 4th quarter. Toronto Dominion Bank now owns 679,325 shares of the enterprise software provider's stock valued at $113,199,000 after acquiring an additional 89,723 shares in the last quarter. Strive Asset Management LLC purchased a new position in Oracle during the 4th quarter valued at about $1,151,000. Finally, Strategic Wealth Partners Ltd. grew its stake in Oracle by 31.9% during the 4th quarter. Strategic Wealth Partners Ltd. now owns 66,481 shares of the enterprise software provider's stock valued at $11,558,000 after acquiring an additional 16,078 shares in the last quarter. Hedge funds and other institutional investors own 42.44% of the company's stock.

Oracle Trading Up 2.6%

The company has a debt-to-equity ratio of 3.33, a quick ratio of 0.62 and a current ratio of 0.62. The company has a 50 day simple moving average of $244.69 and a two-hundred day simple moving average of $190.68. The company has a market cap of $852.04 billion, a PE ratio of 69.39, a PEG ratio of 3.16 and a beta of 1.46.

Oracle Announces Dividend

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

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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