On Feb. 2, Oracle said it had entered into an equity distribution agreement to sell up to $20 billion of its common stock. The common share sales will be conducted through an at-the-market offering. This means the company will sell shares “from time to time” at prevailing market prices, rather than a sudden, one-time dump of shares. Still, ORCL stock closed down 2.8% on Monday amid those sales. The stock also fell 3.4% on Tuesday and 5.2% on Wednesday, though those declines were mostly driven by investors r ...

Principal Financial Group Inc. grew its holdings in Oracle Corporation (NYSE:ORCL – Free Report) by 7.6% in the 3rd quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 2,441,969 shares of the enterprise software provider’s stock after acquiring an additional 172,624 shares during the period. Principal Financial Group Inc. owned 0.09% of Oracle worth $686,779,000 as of its most recent SEC filing. Get Oracle alerts: Several other hedge ...

Meridian Wealth Management LLC boosted its stake in shares of Oracle Corporation (NYSE:ORCL – Free Report) by 6.6% in the third quarter, according to its most recent disclosure with the SEC. The firm owned 50,712 shares of the enterprise software provider’s stock after acquiring an additional 3,150 shares during the period. Meridian Wealth Management LLC’s holdings in Oracle were worth $14,262,000 at the end of the most recent quarter. Get Oracle alerts: A number of other institutional investors and hedge ...

Riding a powerful mix of cloud infrastructure momentum and AI enthusiasm, ORCL stock went on a blistering rally that had investors fully locked in. After delivering strong earnings last year, the stock rose – most notably in September, when shares jumped nearly 36% in a single session following a blockbuster Q1 report. That surge pushed Oracle to a high of $345.72 on Sept. 10, cementing its status as a top AI infrastructure beneficiary.With expanding capabilities in cloud infrastructure, hardware, and consu ...

Oracle stock price continued its downtrend this year, moving to its lowest level since June last year. It has crashed by nearly 50% from its highest level in October last year, with its market capital... ...

Shares of the database software maker have kicked off the new year on a decent footing; while they are up 4% in the last month, they are down 1.2% year-to-date (YTD). Oracle shares rose 19.6% in 2025, slightly outperforming the S&P 500 ($SPX). In September, ORCL stock jumped nearly 36% in a single session, pushing YTD gains close to 100% after the company reported a sharp increase in backlog largely tied to OpenAI’s commitment. However, Oracle shares sold off in the fourth quarter, giving back their Septemb ...

Oracle Corporation (NYSE:ORCL) ranks among the best big data stocks to invest in. On December 12, Evercore ISI reaffirmed its Outperform rating and $275 price target for Oracle Corporation (NYSE:ORCL), citing the company’s considerable data center lease contracts. The firm stated that Oracle’s multi-year data center leases are priced around $1.2 billion per month, with the capacity to sustain around 7.6 gigawatts of data center power. Pixabay/Public Domain Evercore ISI predicts that this network may cre ...

Core Insights - Microsoft and Oracle are leading players in the enterprise cloud and AI sectors, investing billions in AI infrastructure to meet rising demand from hyperscalers and enterprise clients [1] - Both companies reported strong fiscal results, with Microsoft achieving 18% revenue growth and Oracle 14% revenue growth in their latest quarters, driven by cloud adoption and AI workload expansion [2] Microsoft (MSFT) Overview - Microsoft Cloud revenues exceeded $49 billion, growing 26% year over year, with Azure and other cloud services increasing approximately 40% [4] - The company announced $23 billion in new AI investments, including significant investments in India and Canada, to enhance its cloud capacity and meet global AI demand [5] - Microsoft’s partnership with Cognizant enhances its AI capabilities across various sectors, and the company plans to increase Microsoft 365 pricing, indicating strong pricing power [6] - Management projects Intelligent Cloud revenues of $32.25 billion to $32.55 billion with 26-27% growth for the second quarter of fiscal 2026 [7] - The Zacks Consensus Estimate for MSFT's fiscal 2026 earnings is $15.61 per share, indicating a 14.44% year-over-year growth [8] Oracle (ORCL) Overview - Oracle's cloud infrastructure grew 68% in the second quarter of fiscal 2026, with total cloud revenues reaching $8 billion, up 34% year over year [9] - Remaining performance obligations surged to $523 billion, driven by contracts with major companies like Meta, NVIDIA, and OpenAI, providing significant revenue visibility [10] - Oracle's multicloud strategy is gaining traction, with a notable increase in its multicloud database business, which surged 817% in the second quarter [11] - The company expects approximately $50 billion in capital expenditures for fiscal 2026, leading to negative free cash flow as it scales its datacenter capacity [13] - The Zacks Consensus Estimate for ORCL's fiscal 2026 earnings is $7.33 per share, suggesting a 21.56% growth over the previous fiscal year [14] Valuation and Performance Comparison - Microsoft trades at a forward P/E ratio of 28.8, while Oracle trades at 25.38, reflecting premium valuations due to AI growth expectations [15] - Microsoft shares have decreased by 5.2% over the past three months, while Oracle shares have experienced a significant decline of 30.2% due to financing concerns [18] Conclusion - Microsoft is positioned as a superior investment choice for exposure to enterprise cloud and AI, with a diversified business model and strong growth prospects [20] - Oracle, while showing impressive growth in cloud infrastructure, faces challenges related to financing and converting its backlog into profitable revenues [20]

Core Viewpoint - The recommendation is to buy Oracle (ORCL) shares following a significant price drop, indicating a potential investment opportunity after a period of market euphoria in September [1]. Company Analysis - Oracle has experienced a sharp decline in share price, which presents a buying opportunity for investors [1]. - The article serves as an initial coverage of Oracle, aiming to provide insights into the company's current market position and future potential [1]. Market Context - The shift from euphoria to a price drop suggests volatility in the market, which may affect investor sentiment and decision-making [1].

Core Viewpoint - Oracle's shares dropped over 11% in after-hours trading following its Q2 fiscal 2026 report, despite a significant increase in AI demand and a large backlog of orders [2][3]. Group 1: Financial Performance - Oracle reported a slight revenue miss of $16.06 billion compared to the estimated $16.20 billion, but Remaining Performance Obligations (RPO) surged 438% year-over-year to $523 billion, indicating strong AI bookings [3][6]. - Capital expenditures reached $12 billion this quarter, with ongoing aggressive spending anticipated [11]. Group 2: Operational Challenges - The primary reason for the revenue shortfall is attributed to a lack of energized capacity rather than insufficient customer demand, highlighting concerns over the time and costs associated with developing AI infrastructure [6]. - The market is recalibrating its expectations, recognizing that Oracle's growth will depend on the speed of establishing new capacity rather than just demand [10][12]. Group 3: Strategic Positioning - Oracle is transitioning from a high-margin software company to a capital-intensive infrastructure builder, which may lead to increased depreciation expenses impacting earnings per share [7][11]. - The company is embedding its hardware within competitors' data centers, which could complicate the narrative for Oracle Cloud Infrastructure (OCI) [11]. Group 4: Market Dynamics - The competitive landscape is influenced by the physical limitations of data center construction and power availability, which are becoming bottlenecks in the AI cycle [10]. - Customers are incentivized to train AI models where their data is located, which is often within Oracle databases, providing a structural advantage against customer churn despite deployment delays [11]. Group 5: Future Outlook - The stock is perceived as "dead money" in the short term until management can demonstrate expedited physical deployment of AI clusters [13]. - Potential future improvements could arise from advancements in energy infrastructure, such as nuclear SMRs or grid upgrades, which may alleviate current capacity constraints [16].