Scotiabank Has Pessimistic View of Oracle FY2026 Earnings

Oracle Corporation (NYSE:ORCL) – Research analysts at Scotiabank lowered their FY2026 EPS estimates for shares of Oracle in a research report issued to clients and investors on Wednesday, February 11th. Scotiabank analyst P. Colville now expects that the enterprise software provider will earn $6.02 per share for the year, down from their previous estimate of $6.06. Scotiabank has a “Sector Outperform” rating and a $220.00 price target on the stock. The consensus estimate for Oracle’s current full-year earnings is $5.00 per share.

A number of other analysts have also weighed in on ORCL. Barclays reiterated an “overweight” rating on shares of Oracle in a research note on Monday, February 2nd. The Goldman Sachs Group upgraded shares of Oracle to a “strong-buy” rating in a report on Monday, January 12th. Deutsche Bank Aktiengesellschaft reiterated a “buy” rating and issued a $375.00 price target on shares of Oracle in a report on Wednesday, November 26th. KeyCorp decreased their price objective on Oracle from $350.00 to $300.00 and set an “overweight” rating for the company in a research note on Thursday, December 11th. Finally, Robert W. Baird lowered their target price on shares of Oracle from $365.00 to $315.00 and set an “outperform” rating for the company in a research note on Tuesday, November 18th. Three research analysts have rated the stock with a Strong Buy rating, twenty-six have issued a Buy rating, eleven have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average price target of $292.43.

Oracle Price Performance

Shares of ORCL stock opened at $160.19 on Friday. The stock has a 50 day moving average price of $183.73 and a 200 day moving average price of $231.05. Oracle has a 52-week low of $118.86 and a 52-week high of $345.72. The company has a debt-to-equity ratio of 3.28, a quick ratio of 0.91 and a current ratio of 0.91. The firm has a market capitalization of $460.24 billion, a P/E ratio of 30.11, a P/E/G ratio of 1.40 and a beta of 1.64.

Oracle (NYSE:ORCL) last announced its quarterly earnings data on Wednesday, December 10th. The enterprise software provider reported $2.26 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.64 by $0.62. The business had revenue of $16.06 billion during the quarter, compared to the consensus estimate of $16.19 billion. Oracle had a net margin of 25.28% and a return on equity of 70.60%. The firm’s quarterly revenue was up 14.2% compared to the same quarter last year. During the same quarter last year, the firm earned $1.47 earnings per share.

Institutional Investors Weigh In On Oracle

A number of institutional investors and hedge funds have recently added to or reduced their stakes in ORCL. Norges Bank acquired a new position in Oracle in the fourth quarter valued at $4,336,031,000. Jennison Associates LLC raised its position in Oracle by 2,062.4% in the third quarter. Jennison Associates LLC now owns 9,227,252 shares of the enterprise software provider’s stock worth $2,595,072,000 after acquiring an additional 8,800,546 shares in the last quarter. Capital Research Global Investors increased its holdings in shares of Oracle by 29.3% in the 4th quarter. Capital Research Global Investors now owns 30,137,126 shares of the enterprise software provider’s stock valued at $5,874,070,000 after purchasing an additional 6,826,299 shares in the last quarter. Vanguard Group Inc. increased its holdings in Oracle by 3.5% in the fourth quarter. Vanguard Group Inc. now owns 174,802,084 shares of the enterprise software provider’s stock valued at $34,070,674,000 after buying an additional 5,841,584 shares in the last quarter. Finally, Cardano Risk Management B.V. increased its stake in Oracle by 882.3% in the 4th quarter. Cardano Risk Management B.V. now owns 4,991,010 shares of the enterprise software provider’s stock valued at $972,798,000 after purchasing an additional 4,482,934 shares in the last quarter. Hedge funds and other institutional investors own 42.44% of the company’s stock.

Insider Buying and Selling

In other news, Director Naomi O. Seligman sold 2,223 shares of the business’s stock in a transaction dated Tuesday, December 23rd. The stock was sold at an average price of $196.61, for a total transaction of $437,064.03. Following the completion of the transaction, the director directly owned 25,596 shares of the company’s stock, valued at approximately $5,032,429.56. The trade was a 7.99% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CEO Clayton M. Magouyrk sold 10,000 shares of Oracle stock in a transaction on Monday, February 9th. The stock was sold at an average price of $155.23, for a total transaction of $1,552,300.00. Following the sale, the chief executive officer directly owned 134,030 shares of the company’s stock, valued at approximately $20,805,476.90. This trade represents a 6.94% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 72,223 shares of company stock worth $13,689,064. 40.90% of the stock is owned by corporate insiders.

Oracle Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, January 23rd. Shareholders of record on Friday, January 9th were given a $0.50 dividend. The ex-dividend date of this dividend was Friday, January 9th. This represents a $2.00 dividend on an annualized basis and a yield of 1.2%. Oracle’s dividend payout ratio (DPR) is currently 37.59%.

Oracle News Roundup

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Oracle won an $88 million U.S. Air Force task order for Oracle Cloud Infrastructure to support the Air Force Cloud One program through 2028 — a material, mission‑critical cloud contract that supports ORCL’s OCI revenue trajectory. U.S. Department of the Air Force Accelerates Cloud Modernization with Oracle
• Positive Sentiment: Oracle added several customer wins and product rollouts (City of Atlanta selects Oracle Permitting & Licensing; ReGrow Israel picks Oracle Agriculture Data Intelligence; Oracle Health Clinical AI Agent expands to the UK) — these wins reinforce recurring SaaS/OCI demand and demonstrate traction for Oracle’s AI‑enabled offerings. The City of Atlanta Modernizes Constituent Services and Unlocks AI-Driven Innovation with Oracle
• Positive Sentiment: Market interest is also being propped up by product momentum around AI agents for Fusion Apps and positive analyst notes/upgrades that have previously sparked rallies. Oracle Unveils AI Agents for Fusion Apps
• Neutral Sentiment: Scotiabank trimmed FY2026/FY2027 EPS forecasts slightly — small estimate moves that leave the firm constructive (Sector Outperform) but signal analysts are recalibrating near‑term expectations. Scotiabank Lowers FY2026/FY2027 EPS Estimates for Oracle
• Negative Sentiment: Legal overhang: multiple law firms have filed or are soliciting plaintiffs for securities‑class actions covering June–December 2025 — this increases litigation risk and could pressure the stock if suits progress. STOCK NEWS: Oracle Corporation Sued for Securities Fraud after 11% Stock Drop
• Negative Sentiment: Insider selling & sentiment risk: CEO Clayton Magouyrk disclosed a ~10,000‑share sale this week; while often personal, it can be read negatively alongside analyst caution and rising short interest. SEC Form 4 — Clayton M. Magouyrk sale

About Oracle

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.