Oracle (NYSE:ORCL) Trading Up 10.9% – Still a Buy?

Shares of Oracle Corporation (NYSE:ORCL) were up 10.9% on Friday . The company traded as high as $226.29 and last traded at $225.8490. Approximately 40,464,618 shares changed hands during mid-day trading, an increase of 50% from the average daily volume of 26,899,748 shares. The stock had previously closed at $203.70.

Key Headlines Impacting Oracle

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Oracle is benefiting from renewed enthusiasm for AI-related software stocks, with investors viewing the company as a key AI/cloud infrastructure winner alongside peers like Snowflake and ServiceNow. Snowflake, Oracle, ServiceNow Stocks Rally As AI Trade Heats Up Again
• Positive Sentiment: Bullish trading signals and unusual options activity point to stronger near-term sentiment, including a Power Inflow alert and a big jump in call buying. Oracle Shares Rise 4% After Key Trading Signal
• Positive Sentiment: Analysts and market commentary continue to highlight Oracle’s AI cloud backlog and improving outlook, suggesting investors are focusing more on growth potential than on recent volatility. Zacks Industry Outlook Highlights Oracle, Intuit and Progress Software
• Positive Sentiment: Several recent pieces frame Oracle as a possible undervalued AI beneficiary, reinforcing the case for continued investor interest in the stock. Is Oracle Stock an Undervalued Stock to Buy?
• Neutral Sentiment: Oracle is also drawing regulatory scrutiny over TikTok U.S. data safeguards and recommendation-algorithm concerns, which is not a direct business hit but could add headline risk. Democratic senator wants TikTok US JV, Oracle to answer questions on platform safeguards
• Neutral Sentiment: Some investors are still focused on Oracle’s debt load and capital spending for AI data centers, a longer-term concern that could cap enthusiasm if profitability doesn’t keep up. Concerns Over Debt Weigh on Oracle (ORCL) Amid AI Data Center Expansion

Analyst Ratings Changes

A number of research analysts recently weighed in on ORCL shares. Bank of America started coverage on shares of Oracle in a report on Tuesday, March 24th. They issued a “buy” rating and a $200.00 target price for the company. Citizens Jmp cut their target price on shares of Oracle from $342.00 to $285.00 and set a “market outperform” rating for the company in a report on Thursday, February 5th. Monness Crespi & Hardt reissued a “hold” rating on shares of Oracle in a report on Wednesday, March 11th. Cantor Fitzgerald reissued an “overweight” rating and issued a $229.00 target price on shares of Oracle in a report on Wednesday, March 11th. Finally, Oppenheimer lifted their price objective on shares of Oracle from $210.00 to $235.00 and gave the stock an “outperform” rating in a research note on Tuesday, May 12th. Three analysts have rated the stock with a Strong Buy rating, twenty-nine have issued a Buy rating, nine have issued a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, Oracle currently has an average rating of “Moderate Buy” and an average target price of $261.46.

Oracle Stock Performance

The firm has a market capitalization of $649.55 billion, a P/E ratio of 40.55, a P/E/G ratio of 2.15 and a beta of 1.55. The firm has a 50-day moving average price of $170.81 and a two-hundred day moving average price of $178.35. The company has a debt-to-equity ratio of 3.66, a current ratio of 1.35 and a quick ratio of 1.35.

Oracle (NYSE:ORCL) last released its earnings results on Tuesday, March 10th. The enterprise software provider reported $1.79 earnings per share for the quarter, topping the consensus estimate of $1.71 by $0.08. Oracle had a return on equity of 62.70% and a net margin of 25.30%.The business had revenue of $17.19 billion during the quarter, compared to the consensus estimate of $16.91 billion. During the same period last year, the company earned $1.47 earnings per share. The business’s revenue for the quarter was up 21.7% compared to the same quarter last year. Oracle has set its Q4 2026 guidance at 1.960-2.000 EPS. On average, analysts forecast that Oracle Corporation will post 6.08 EPS for the current fiscal year.

Oracle Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, April 24th. Stockholders of record on Thursday, April 9th were given a dividend of $0.50 per share. This represents a $2.00 annualized dividend and a dividend yield of 0.9%. The ex-dividend date was Thursday, April 9th. Oracle’s dividend payout ratio (DPR) is 35.91%.

Insider Buying and Selling at Oracle

In other news, EVP Stuart Levey sold 15,000 shares of Oracle stock in a transaction on Thursday, April 16th. The stock was sold at an average price of $176.19, for a total transaction of $2,642,850.00. Following the completion of the sale, the executive vice president directly owned 3,429 shares in the company, valued at approximately $604,155.51. This trade represents a 81.39% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 40.90% of the company’s stock.

Institutional Trading of Oracle

Several institutional investors and hedge funds have recently made changes to their positions in the business. Xponance Inc. raised its holdings in Oracle by 1.8% in the third quarter. Xponance Inc. now owns 406,544 shares of the enterprise software provider’s stock worth $114,336,000 after purchasing an additional 7,320 shares in the last quarter. DDD Partners LLC bought a new position in Oracle in the fourth quarter worth about $1,677,000. William Blair Investment Management LLC raised its holdings in Oracle by 28.6% in the third quarter. William Blair Investment Management LLC now owns 1,107,586 shares of the enterprise software provider’s stock worth $311,497,000 after purchasing an additional 246,243 shares in the last quarter. Meridian Wealth Management LLC raised its holdings in Oracle by 6.6% in the third quarter. Meridian Wealth Management LLC now owns 50,712 shares of the enterprise software provider’s stock worth $14,262,000 after purchasing an additional 3,150 shares in the last quarter. Finally, KADENSA CAPITAL Ltd raised its holdings in Oracle by 1,945.8% in the third quarter. KADENSA CAPITAL Ltd now owns 92,736 shares of the enterprise software provider’s stock worth $26,081,000 after purchasing an additional 88,203 shares in the last quarter. 42.44% of the stock is currently owned by institutional investors.

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.