Oracle (NYSE:ORCL) Shares Down 5.8% – Here’s Why

Oracle Co. (NYSE:ORCL)’s share price traded down 5.8% during trading on Thursday . The company traded as low as $136.82 and last traded at $137.33. 4,481,967 shares were traded during mid-day trading, a decline of 50% from the average session volume of 9,021,093 shares. The stock had previously closed at $145.86.

Analyst Ratings Changes

Several brokerages recently weighed in on ORCL. DA Davidson restated a “neutral” rating and set a $150.00 target price on shares of Oracle in a research note on Tuesday, March 11th. Mizuho raised their price objective on shares of Oracle from $185.00 to $210.00 and gave the stock an “outperform” rating in a research note on Tuesday, December 10th. JMP Securities reissued a “market outperform” rating and set a $205.00 target price on shares of Oracle in a research note on Wednesday, January 22nd. Barclays cut their price target on Oracle from $212.00 to $202.00 and set an “overweight” rating for the company in a research note on Tuesday, March 11th. Finally, BNP Paribas upgraded Oracle to a “strong-buy” rating in a research report on Tuesday, December 10th. Thirteen investment analysts have rated the stock with a hold rating, sixteen have issued a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat, Oracle currently has a consensus rating of “Moderate Buy” and a consensus target price of $178.65.

Oracle Price Performance

The stock’s 50-day simple moving average is $162.14 and its 200 day simple moving average is $169.85. The company has a market cap of $383.30 billion, a price-to-earnings ratio of 33.51, a PEG ratio of 3.46 and a beta of 1.07. The company has a quick ratio of 0.81, a current ratio of 0.81 and a debt-to-equity ratio of 5.65.

Oracle (NYSE:ORCL) last announced its earnings results on Monday, March 10th. The enterprise software provider reported $1.47 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.49 by ($0.02). Oracle had a net margin of 21.16% and a return on equity of 133.25%. The firm had revenue of $14.13 billion during the quarter, compared to analysts’ expectations of $14.40 billion. During the same period in the previous year, the firm earned $1.41 EPS. The firm’s revenue for the quarter was up 6.4% compared to the same quarter last year. On average, equities research analysts anticipate that Oracle Co. will post 5 EPS for the current fiscal year.

Oracle Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, April 23rd. Investors of record on Thursday, April 10th will be paid a dividend of $0.50 per share. This is an increase from Oracle’s previous quarterly dividend of $0.40. This represents a $2.00 annualized dividend and a yield of 1.46%. The ex-dividend date of this dividend is Thursday, April 10th. Oracle’s dividend payout ratio is presently 46.95%.

Insider Buying and Selling at Oracle

In other Oracle news, CEO Safra Catz sold 2,101,154 shares of the stock in a transaction dated Wednesday, January 22nd. The stock was sold at an average price of $185.35, for a total value of $389,448,893.90. Following the sale, the chief executive officer now owns 1,118,592 shares of the company’s stock, valued at $207,331,027.20. This trade represents a 65.26 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 42.20% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Oracle

Hedge funds and other institutional investors have recently modified their holdings of the company. Second Line Capital LLC boosted its holdings in shares of Oracle by 1.5% in the 3rd quarter. Second Line Capital LLC now owns 3,816 shares of the enterprise software provider’s stock valued at $650,000 after buying an additional 58 shares in the last quarter. Requisite Capital Management LLC grew its position in Oracle by 2.8% during the 4th quarter. Requisite Capital Management LLC now owns 2,240 shares of the enterprise software provider’s stock worth $373,000 after purchasing an additional 60 shares during the last quarter. Cookson Peirce & Co. Inc. increased its stake in Oracle by 4.4% in the fourth quarter. Cookson Peirce & Co. Inc. now owns 1,423 shares of the enterprise software provider’s stock valued at $237,000 after purchasing an additional 60 shares during the period. McLean Asset Management Corp raised its holdings in shares of Oracle by 1.1% in the fourth quarter. McLean Asset Management Corp now owns 5,447 shares of the enterprise software provider’s stock valued at $908,000 after buying an additional 61 shares during the last quarter. Finally, Warther Private Wealth LLC grew its stake in shares of Oracle by 1.8% in the 4th quarter. Warther Private Wealth LLC now owns 3,621 shares of the enterprise software provider’s stock valued at $603,000 after purchasing an additional 63 shares during the last quarter. 42.44% of the stock is currently owned by institutional investors and hedge funds.

About Oracle

Oracle Corporation offers products and services that address enterprise information technology environments worldwide. Its Oracle cloud software as a service offering include various cloud software applications, including Oracle Fusion cloud enterprise resource planning (ERP), Oracle Fusion cloud enterprise performance management, Oracle Fusion cloud supply chain and manufacturing management, Oracle Fusion cloud human capital management, Oracle Cerner healthcare, Oracle Advertising, and NetSuite applications suite, as well as Oracle Fusion Sales, Service, and Marketing.