Cantor Fitzgerald Lowers Oracle EPS Estimates for FY2026

Analysts at Cantor Fitzgerald have revised their earnings per share (EPS) estimates for Oracle Corporation (NYSE: ORCL) for the fiscal year 2026. In a note issued to investors on September 10, 2023, analyst T. Blakey projected that Oracle’s earnings per share will reach $5.31, a decrease from the previous estimate of $5.51. Despite this adjustment, Cantor Fitzgerald maintains an “Overweight” rating on the stock, with a price target set at $400.00.

The consensus estimate for Oracle’s full-year earnings currently stands at $5.00 per share. Other financial institutions have also weighed in on Oracle’s stock performance. For instance, Raymond James Financial reaffirmed a “strong-buy” rating on June 18, 2023, while Bank of America upgraded its rating from “neutral” to “buy,” raising the target price from $295.00 to $368.00 in a research note released on the same day. CIBC reiterated a “buy” rating, and Oppenheimer declared an “outperform” rating, both in reports issued on June 18, 2023.

As of now, two analysts have rated Oracle’s stock with a “Strong Buy” rating, while twenty-five have given it a “Buy” rating, and eight analysts have opted for a “Hold” rating. According to data from MarketBeat.com, Oracle currently holds a consensus rating of “Moderate Buy” with an average target price of $296.84.

Oracle’s Stock Performance and Recent Earnings

On the trading front, Oracle’s stock experienced a decline of 5.1%, opening at $292.07 on Friday. Over the past twelve months, the stock has fluctuated between a low of $118.86 and a high of $345.72. Oracle’s market capitalization is approximately $820.38 billion, with a price-to-earnings (P/E) ratio of 67.61 and a P/E/G ratio of 4.10.

In its most recent earnings report, released on June 11, 2023, Oracle posted an EPS of $1.70, exceeding analysts’ consensus estimates of $1.64 by $0.06. The company reported revenue of $15.90 billion, surpassing anticipated revenues of $15.58 billion. Year-over-year, Oracle’s revenue grew by 11.3%, with a return on equity of 72.93% and a net margin of 21.08%.

Institutional and Insider Trading Activity

Recent trading activity reveals that several institutional investors and hedge funds have adjusted their positions in Oracle. Snider Financial Group increased its stake by 1.3% during the second quarter, now holding 3,204 shares valued at $701,000. SNS Financial Group LLC and PKS Advisory Services LLC also raised their positions by 0.9% and 1.9%, respectively. Currently, 42.44% of Oracle’s stock is owned by institutional investors.

In insider trading news, Michael D. Sicilia, an insider at Oracle, sold 15,880 shares on August 5, 2023, at an average price of $254.48, totaling $4,041,142.40. Following this transaction, Sicilia retains 99,212 shares in the company, valued at approximately $25.25 million. Another insider, Clayton M. Magouyrk, sold 15,000 shares on June 17, 2023, at an average price of $214.10, reflecting a total value of $3,211,500. Insiders have collectively sold 44,183 shares worth $10.35 million in the last three months.

In addition to these developments, Oracle has announced a quarterly dividend of $0.50 per share, set to be paid on October 23, 2023. Shareholders of record on October 9, 2023 will receive the dividend. This dividend translates to an annualized payout of $2.00 per share, yielding a dividend yield of 0.7%, with a current dividend payout ratio of 46.30%.

Oracle Corporation continues to be a major player in the enterprise software sector, providing a range of products and services that cater to global information technology needs.