Sell Oracle Stock Ahead of Its Upcoming Earnings?

Core Insights - Oracle is expected to announce earnings on September 9, 2025, with analysts estimating earnings of $1.48 per share on revenues of $15.03 billion, reflecting growth from the previous year [3] - Historically, Oracle's stock has shown negative returns on the day following earnings announcements, with a 55% decrease rate over the past five years and a median drop of 3.2% [2][6] Financial Performance - Oracle's market capitalization stands at $626 billion, with $57 billion in revenue, $18 billion in operating profits, and $12 billion in net income over the last twelve months [4] - The expected earnings growth is attributed to the increasing adoption of Oracle's cloud services, particularly in generative AI workloads [3] Historical Earnings Reaction - Over the last five years, Oracle has documented 20 earnings results, with 9 positive and 11 negative one-day returns, leading to a 45% chance of positive returns [6] - The median of positive returns is 11%, while the median of negative returns is -3.2% [6] Post-Earnings Strategies - Traders can utilize historical trends for strategic positioning before and after earnings announcements, assessing correlations between short-term and medium-term returns [5][7] - A less risky strategy involves identifying pairs with the highest correlation between 1D and 5D returns to inform trading decisions [7] Peer Performance Influence - The performance of peers can impact Oracle's stock reactions following earnings, with market dynamics potentially shifting before the earnings announcements [8]