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How Wall Street Analysts View Oracle Stock

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Analysts’ views on Oracle stock

Earlier in this series, we discussed Oracle’s (ORCL) initiatives and expectations from its fiscal 1Q18 results. In the software space, Oracle’s (ORCL) peers include Microsoft (MSFT), IBM (IBM), and SAP (SAP). Let’s take a look at the market’s view of Oracle and its metrics.

Of the 35 analyst recommendations for Oracle’s stock, only one was a “sell” recommendation. More than 70% were “buy,” and the remainder were “hold” recommendations, as the chart below shows. It appears that analysts’ recommendations for Oracle have improved, driven by its cloud offerings’ increased traction and its initiatives to move ahead in the cloud space.

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Oracle’s stock price performance

Oracle’s stock price movement over the past month has been positive, fueled by the expectations of analysts on its upcoming fiscal 1Q18 results. On September 11, 2017, the company’s stock rose ~5%. In the past year, Oracle stock grew 25%, returning double-digit value to its shareholders. 

Earlier in this series, we discussed the factors that impacted Oracle stock that can also determine its journey in the remaining part of 2017.

Oracle’s return to revenue growth through numerous strategic acquisitions as well as increased adoption of its cloud offerings despite its late entry to the competitive cloud space has boosted Oracle stock’s upward movement.

Analyst target prices

The Wall Street consensus target price for Oracle was $55.72 per share on September 11, 2017. The median target price was $56.00. Oracle’s closing price was $51.58 that day.

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