Oracle Corp. received price target increases from multiple Wall Street analysts ahead of its fourth-quarter earnings results due Wednesday. Evercore ISI analyst Kirk Materne raised the price target to $245 from $220 with an Outperform rating, TD Cowen analyst Derrick Wood raised the target to $300 from $250 with a Buy rating, and Oppenheimer raised the target to $275 from $235 with an Outperform rating. The upgrades cite optimism over Oracle's strategic alignment and capacity expansion plans amid growing demand for AI infrastructure. Retail investor chatter around the company jumped 234% in 24 hours according to Stocktwits data as the company prepares to report results following a 22% revenue increase to $17.2 billion in the third quarter driven by cloud services growth.
Analysts Raise Oracle Price Targets Ahead of Q4 Earnings
Evercore ISI analyst Kirk Materne raised the price target on Oracle to $245 from $220 and maintained an Outperform rating on the shares, indicating an upside potential of nearly 16% from its last close, according to TheFly. The analyst cited the company's upcoming fiscal Q4 results and expressed optimism over Oracle's strategic alignment and growth potential despite complexities around capital expenditure.
TD Cowen analyst Derrick Wood raised the price target on Oracle to $300 from $250 with a Buy rating on the shares ahead of Q4 results this week. The analyst said the combination of a step-up in GPU capacity alongside a cut to operating expenditure makes for a favorable setup, according to TheFly.
Oppenheimer hiked the price target on Oracle to $275 from $235 with an Outperform rating on the shares, while reiterating the company as its top pick for the year ahead of Q4 results. Last week, Oracle received a series of price target increases from Cantor Fitzgerald, RBC Capital, and Citi.
Oracle Q4 Revenue Expected to Reach $19.09 Billion
Oracle is scheduled to report its Q4 results after the markets close on Wednesday. Analysts expect revenue to increase about 20% to $19.09 billion in the fourth quarter, according to estimates from Fiscal.ai. Earnings per share is expected to come in at $1.96 per share.
In the third quarter, Oracle posted a 22% increase in revenue to $17.2 billion, bolstered by an increase in cloud revenue.
Retail Sentiment Turns Bullish on Stocktwits
On Stocktwits, retail sentiment was in the bullish territory at the time of writing. Retail chatter around the company jumped 234% in 24 hours according to Stocktwits data.
One user said, "Sure seems like they have been surpressing the price as much as they can before earnings. If earnings are a blow out the lid is coming off." Another user estimated a price between $240 and $270 depending on the earnings results.
Oracle stock has gained over 19% in the last 12 months.
FAQ
What price targets did analysts set for Oracle ahead of Q4 earnings?
Evercore ISI raised the price target to $245 from $220 with an Outperform rating. TD Cowen raised the target to $300 from $250 with a Buy rating. Oppenheimer raised the target to $275 from $235 with an Outperform rating.
What are analysts expecting for Oracle's Q4 revenue and earnings?
Analysts expect Oracle's Q4 revenue to increase about 20% to $19.09 billion according to estimates from Fiscal.ai. Earnings per share is expected to come in at $1.96 per share. The company is scheduled to report results after the markets close on Wednesday.
