Oracle (NYSE:ORCL) Stock Price Down 2.8% - Here's What Happened

Key Points

• Oracle Corporation shares fell 2.8% on Friday, trading between $242.00 and $246.73, with a significant decline in trading volume.
• Analysts have increased their price targets for Oracle, with Piper Sandler raising it from $190.00 to $270.00, suggesting confidence in the company's growth potential.
• Oracle reported a strong quarter with an EPS of $1.70, exceeding estimates and displaying an 11.3% year-over-year revenue growth.

Shares of Oracle Corporation (NYSE:ORCL - Get Free Report) were down 2.8% on Friday . The company traded as low as $242.00 and last traded at $246.73. Approximately 5,441,277 shares changed hands during trading, a decline of 55% from the average daily volume of 12,058,645 shares. The stock had previously closed at $253.77.

Wall Street Analysts Forecast Growth

Several analysts have weighed in on the company. Bank of America boosted their price objective on Oracle from $156.00 to $220.00 and gave the stock a "neutral" rating in a report on Thursday, June 12th. Piper Sandler raised shares of Oracle from a "neutral" rating to an "overweight" rating and boosted their price target for the stock from $190.00 to $270.00 in a research note on Thursday, July 10th. Stifel Nicolaus raised shares of Oracle from a "hold" rating to a "buy" rating and boosted their price target for the stock from $180.00 to $250.00 in a research note on Monday, June 30th. Royal Bank Of Canada upped their price target on Oracle from $145.00 to $195.00 and gave the company a "sector perform" rating in a research note on Thursday, June 12th. Finally, The Goldman Sachs Group reaffirmed a "neutral" rating and issued a $195.00 price target (up from $145.00) on shares of Oracle in a research note on Friday, June 13th. Nine analysts have rated the stock with a hold rating, twenty-three have issued a buy rating and three have issued a strong buy rating to the company. According to MarketBeat, the company has an average rating of "Moderate Buy" and a consensus price target of $218.29.

Oracle Price Performance

The company has a quick ratio of 0.75, a current ratio of 0.75 and a debt-to-equity ratio of 4.07. The firm has a market cap of $686.90 billion, a P/E ratio of 56.40, a PEG ratio of 3.74 and a beta of 1.39. The business has a fifty day moving average of $211.78 and a 200 day moving average of $174.13.

Oracle (NYSE:ORCL - Get Free Report) last issued its earnings results on Wednesday, June 11th. The enterprise software provider reported $1.70 EPS for the quarter, topping the consensus estimate of $1.64 by $0.06. Oracle had a return on equity of 87.34% and a net margin of 21.68%. The company had revenue of $15.90 billion during the quarter, compared to the consensus estimate of $15.58 billion. During the same period in the previous year, the company posted $1.63 EPS. The firm's revenue for the quarter was up 11.3% compared to the same quarter last year. On average, sell-side analysts anticipate that Oracle Corporation will post 5 earnings per share for the current year.

Oracle Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Thursday, July 24th. Stockholders of record on Thursday, July 10th were issued a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a dividend yield of 0.8%. The ex-dividend date was Thursday, July 10th. Oracle's payout ratio is currently 46.08%.

Insider Activity at Oracle

In related news, Director Naomi O. Seligman sold 3,303 shares of the business's stock in a transaction on Wednesday, July 16th. The stock was sold at an average price of $233.32, for a total value of $770,655.96. Following the completion of the sale, the director directly owned 31,447 shares in the company, valued at $7,337,214.04. The trade was a 9.51% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, insider Clayton M. Magouyrk sold 15,000 shares of the business's stock in a transaction on Tuesday, June 17th. The shares were sold at an average price of $214.10, for a total value of $3,211,500.00. Following the completion of the sale, the insider owned 60,722 shares of the company's stock, valued at $13,000,580.20. This trade represents a 19.81% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 431,169 shares of company stock valued at $82,908,609. Insiders own 42.20% of the company's stock.

Institutional Investors Weigh In On Oracle

Several institutional investors have recently made changes to their positions in ORCL. Brighton Jones LLC lifted its position in Oracle by 189.3% during the fourth quarter. Brighton Jones LLC now owns 153,580 shares of the enterprise software provider's stock worth $25,593,000 after purchasing an additional 100,494 shares during the period. Revolve Wealth Partners LLC lifted its holdings in shares of Oracle by 8.1% during the 4th quarter. Revolve Wealth Partners LLC now owns 5,418 shares of the enterprise software provider's stock worth $903,000 after acquiring an additional 404 shares during the period. Wellington Management Group LLP lifted its holdings in shares of Oracle by 200.4% during the 4th quarter. Wellington Management Group LLP now owns 172,483 shares of the enterprise software provider's stock worth $28,743,000 after acquiring an additional 115,059 shares during the period. OneAscent Financial Services LLC lifted its holdings in shares of Oracle by 12.6% during the 4th quarter. OneAscent Financial Services LLC now owns 5,723 shares of the enterprise software provider's stock worth $954,000 after acquiring an additional 642 shares during the period. Finally, Nicolet Advisory Services LLC lifted its stake in Oracle by 0.5% during the fourth quarter. Nicolet Advisory Services LLC now owns 16,501 shares of the enterprise software provider's stock worth $2,549,000 after purchasing an additional 76 shares during the last quarter. 42.44% of the stock is currently owned by institutional investors.

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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