Oracle (NYSE:ORCL) Shares Down 4.1% on Disappointing Earnings

Oracle Co. (NYSE:ORCL) shares traded down 4.1% on Monday following a dissappointing earnings announcement. The stock traded as low as $147.13 and last traded at $148.77. 4,310,383 shares traded hands during mid-day trading, a decline of 62% from the average session volume of 11,447,529 shares. The stock had previously closed at $155.16.

The enterprise software provider reported $1.47 earnings per share for the quarter, missing analysts’ consensus estimates of $1.48 by ($0.01). Oracle had a return on equity of 133.25% and a net margin of 21.16%. The business had revenue of $14.13 billion during the quarter, compared to the consensus estimate of $14.40 billion. During the same quarter in the previous year, the firm posted $1.41 earnings per share. The company’s revenue for the quarter was up 6.4% compared to the same quarter last year.

Analysts Set New Price Targets

A number of analysts recently commented on ORCL shares. UBS Group lifted their price target on Oracle from $200.00 to $210.00 and gave the stock a “buy” rating in a report on Tuesday, December 10th. JMP Securities reissued a “market outperform” rating and issued a $205.00 price target on shares of Oracle in a research note on Wednesday, January 22nd. BMO Capital Markets raised their price objective on Oracle from $173.00 to $205.00 and gave the company a “market perform” rating in a research note on Tuesday, December 10th. Mizuho boosted their target price on Oracle from $185.00 to $210.00 and gave the company an “outperform” rating in a research note on Tuesday, December 10th. Finally, KeyCorp raised their price target on Oracle from $190.00 to $200.00 and gave the stock an “overweight” rating in a research report on Friday, November 15th. Eleven analysts have rated the stock with a hold rating, nineteen have issued a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $182.73.

Insider Activity

In related news, CEO Safra Catz sold 345,174 shares of the company’s stock in a transaction dated Friday, January 24th. The shares were sold at an average price of $185.56, for a total value of $64,050,487.44. Following the transaction, the chief executive officer now owns 1,118,592 shares in the company, valued at $207,565,931.52. The trade was a 23.58 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Company insiders own 42.20% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the company. R Squared Ltd bought a new position in Oracle in the 4th quarter valued at approximately $25,000. Sunbeam Capital Management LLC purchased a new stake in shares of Oracle during the fourth quarter valued at $30,000. Winch Advisory Services LLC increased its holdings in Oracle by 89.7% in the 4th quarter. Winch Advisory Services LLC now owns 184 shares of the enterprise software provider’s stock worth $31,000 after buying an additional 87 shares in the last quarter. Hurley Capital LLC purchased a new position in Oracle in the 4th quarter worth about $33,000. Finally, Synergy Investment Management LLC bought a new position in Oracle during the 4th quarter valued at about $34,000. 42.44% of the stock is owned by hedge funds and other institutional investors.

Oracle Stock Performance

The business’s fifty day moving average price is $167.63 and its 200-day moving average price is $169.51. The stock has a market cap of $416.38 billion, a PE ratio of 36.40, a P/E/G ratio of 3.46 and a beta of 1.07. The company has a debt-to-equity ratio of 5.65, a quick ratio of 0.81 and a current ratio of 0.81.

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.