Technology

Oracle (NYSE:ORCL) Analyst Ratings Date Upside/Downside Analyst Firm Price Target Change Rating Change Previous / Current Rating 12/12/2023 18.37% Piper Sandler $130 → $125 Maintains Overweight 11/13/2023 — Edward Jones Upgrades Hold → Buy 10/23/2023 1.33% Morgan Stanley $106 → $107 Maintains Equal-Weight 10/09/2023 27.84% Evercore ISI Group $131 → $135 Upgrades In-Line → Outperform 09/25/2023 23.11% BMO Capital $132 → $130 Maintains Market Perform 09/22/2023 42.05% Guggenheim → $150 Reiterates Buy → Buy 09/22/2023 23.11% Piper Sandler → $130 Reiterates Overweight → Overweight 09/21/2023 4.17% Berenberg $82.5 → $110 Maintains Hold 09/19/2023 42.05% Mizuho $150 → $150 Maintains Buy 09/15/2023 36.36% HSBC → $144 Initiates Coverage On → Buy 09/14/2023 18.37% DZ Bank → $125 Upgrades Hold → Buy 09/13/2023 13.64% Citigroup $138 → $120 Maintains Neutral 09/13/2023 -5.3% JP Morgan $112 → $100 Downgrades Overweight → Neutral 09/12/2023 -1.52% DA Davidson $115 → $104 Maintains Neutral 09/12/2023 39.2%

Oracle’s (ORCL) cloud expansion falls short again, highlighting the dependency on migration efforts, BofA Securities said in a note. “Oracle reported disappointing Q2 results, marked by a shortfall to revenue versus consensus estimates,” BofA Securities said. The company’s cloud revenue increased by 24% year-over-year on a constant currency basis, which, though positive, fell short of the guidance. However, despite the revenue shortfall, Oracle managed to exceed expectations in terms of profitability, reporting pro forma EPS that exceeded predictions, the note said. BofA Securities said that Software as a service, or SaaS, and infrastructure as a service, or IaaS, growth slowed for Oracle, especially as other cloud service providers are surpassing expectations. The shortfall to guidance raises concerns, suggesting reliance on customer migrations, from legacy on premise e-business suite, compared to new application growth, according to the note. “We are encouraged by demand signals from Microsoft in the new Oracle DB

Oracle’s (ORCL) fiscal second-quarter revenue miss came amid underperformance in license and certain key cloud assets, while the software maker’s third-quarter outlook lacks “meaningful” upside potential, Morgan Stanley said Tuesday. Late Monday, the company reported that its revenue rose 5% year over year to $12.94 billion in the quarter through Nov. 30, but fell short of the Capital IQ-polled consensus of $13.05 billion. Adjusted per-share earnings grew to $1.34 from $1.21 a year earlier, just above Wall Street’s $1.33 view. Oracle cloud infrastructure, or OCI, revenue growth slowed from first-quarter’s pace, while capital expenditures fell year over year, “disappointing even against a lower bar,” Morgan Stanley said in a note. “Management reasoned that a near-term focus on accommodating large deals had led to capacity constraints and some revenue slippage in smaller deals, while also creating increased lumpiness and execution risk in the forward model.” For its third quarter, the company