Oracle shares are up 1.29% Thursday, extending a strong run over the past month with gains of more than 30%. Here’s a look at the key highlights driving the rally.
What To Know: Oracle kicked off June with strong fourth-quarter earnings. The company reported adjusted earnings of $1.70 per share, topping the $1.65 estimate. Revenue came in at $15.90 billion, also above the $15.58 billion consensus.
Oracle also issued guidance for fiscal 2026, projecting cloud revenue growth of more than 40%, up from 24% in fiscal 2025. Cloud infrastructure revenue is expected to grow over 70%, compared to 50% last year.
Oracle CEO Safra Catz said, “FY25 was a very good year—but we believe FY26 will be even better as our revenue growth rates will be dramatically higher.”
Multiple analysts reacted to the earnings report with price target adjustments. Piper Sandler analyst Brent Bracelin maintained a Neutral rating on Oracle and raised the price target from $130 to $190. Furthermore, Deutsche Bank analyst Brad Zelnick maintained a Buy rating on Oracle and raised the price target from $200 to $240.
Other analysts from B of A Securities, Keybanc, Stifel, UBS and more also reacted with price target changes. The consensus price target for Oracle is $207.85, with the lowest price target at $165 and the highest price target at $250.
The momentum continues this week after a report suggested that Open AI is renting computer power from the company’s data centers as a part of its Stargate initiative. Specifically, OpenAI is leasing about 4.5 gigawatts of data center power from Oracle, according to Bloomberg.
Additionally, BMO Capital analyst Keith Bachman maintained an Outperform rating on Oracle and raised the price target from $235 to $245.
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ORCL Price Action: At the time of writing, Oracle shares are trading 1.29% higher at $232.96, according to data from Benzinga Pro.
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