
Oracle (ORCL) Stock Forecast & Price Target
Oracle (ORCL) Analyst Ratings
Bulls say
Oracle's recent financial performance indicates strong momentum, particularly in its Software as a Service (SaaS) and cloud revenue segments, with cloud revenue reaching $8 billion and growing at a rate of 33% year-over-year. The company's Remaining Performance Obligations (RPO) rose to $523 billion, reflecting a significant year-over-year increase of approximately 433% and driven by key contracts signed with large clients such as Meta and NVIDIA. Furthermore, Oracle's Non-GAAP EPS is projected to grow between 16% and 18%, demonstrating a solid outlook for profitability as the company continues to expand in the competitive cloud market.
Bears say
Oracle's recent financial performance indicates a negative outlook, highlighted by a cloud revenue miss that fell short by one percentage point from guidance and a significant capital expenditure of $12 billion, which adversely impacted free cash flow. The company's non-GAAP gross margin decreased to 67.8%, a 90 basis point decline quarter-over-quarter, largely attributed to increased contributions from lower-margin IaaS revenue. Additionally, Oracle's non-GAAP operating margin of 41.9% was below market consensus, alongside operating cash flow that also failed to meet expectations, further contributing to concerns regarding the company's financial health.
This aggregate rating is based on analysts' research of Oracle and is not a guaranteed prediction by Public.com or investment advice.
Oracle (ORCL) Analyst Forecast & Price Prediction
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