
Oracle (ORCL) Stock Forecast & Price Target
Oracle (ORCL) Analyst Ratings
Bulls say
Oracle's recent financial performance demonstrates robust growth across its cloud and SaaS segments, with SaaS revenue increasing by 11% year-over-year and Strategic Back-Office SaaS reaching $2.4 billion, up 16% year-over-year. The company reported cloud revenue of $8 billion, reflecting a 33% year-over-year constant currency growth, signaling strong demand and market positioning. Additionally, Oracle's Remaining Performance Obligations rose 15% quarter-over-quarter to $523 billion, bolstered by significant contracts with major clients, underscoring the company's strong prospects for sustained revenue growth.
Bears say
Oracle's recent financial performance has raised concerns, particularly as cloud revenue in Q2 fell short of guidance, leading management to reaffirm its long-term targets without any immediate signs of growth. The company reported a significant capital expenditure of $12 billion, which, coupled with a decline in total non-GAAP gross margin to 67.8%, raises questions about its profitability amid a shift towards lower-margin Infrastructure as a Service (IaaS) offerings. Furthermore, Oracle's operating cash flow of $2.1 billion and non-GAAP operating margin of 41.9% both missed consensus expectations, suggesting ongoing difficulties in enhancing operational efficiency and revenue generation.
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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