Oracle (ORCL) Shares Decline Despite Market Upturn: Important Details
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Oct 20 2025
0mins
Source: NASDAQ.COM
Oracle's Stock Performance: Oracle (ORCL) closed at $277.18, down 4.85% from the previous day, underperforming compared to the S&P 500, Dow, and Nasdaq, and has seen a 5.62% decline over the past month.
Upcoming Earnings Expectations: Analysts project Oracle's upcoming EPS at $1.63, a 10.88% increase year-over-year, with revenue estimates at $16.15 billion, reflecting a 14.84% growth from the prior year.
Analyst Confidence and Zacks Rank: Recent analyst estimate revisions indicate confidence in Oracle's performance, with a Zacks Rank of #2 (Buy) and a 0.41% increase in the consensus EPS estimate over the last 30 days.
Valuation Metrics: Oracle's Forward P/E ratio is 42.96, significantly higher than the industry average of 27.14, and its PEG ratio stands at 2.49, compared to the industry average of 2.07, suggesting it is trading at a premium.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy ORCL?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on ORCL
Wall Street analysts forecast ORCL stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for ORCL is 309.59 USD with a low forecast of 180.00 USD and a high forecast of 400.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
34 Analyst Rating
25 Buy
9 Hold
0 Sell
Moderate Buy
Current: 172.800
Low
180.00
Averages
309.59
High
400.00
Current: 172.800
Low
180.00
Averages
309.59
High
400.00
About ORCL
Oracle Corporation offers integrated suites of applications plus secure, autonomous infrastructure in the Oracle Cloud. The Company operates through three businesses: cloud and license, hardware and service. Its cloud and license business is engaged in the sale, marketing and delivery of its enterprise applications and infrastructure technologies through cloud and on-premise deployment models including its cloud services and license support offerings, and its cloud license and on-premise license offerings. Its hardware business provides infrastructure technologies including Oracle Engineered Systems, servers, storage, industry-specific hardware, operating systems, virtualization, management and other hardware-related software to support diverse IT environments. Its services business provides services to customers and partners to help maximize the performance of their investments in Oracle applications and infrastructure technologies.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Oracle's Cloud Market Share Growth and Financial Outlook
- Cloud Market Share Increase: Oracle's focus on high-performance computing has raised its cloud market share from 2% in 2024 to 3%, showcasing a competitive edge in a $944 billion industry, with expectations for further growth by 2026.
- Strong Financial Performance: For the first half of fiscal 2026 ending November 30, 2025, Oracle's cloud segment generated over $15 billion in revenue, a 31% year-over-year increase, driving overall revenue to $31 billion with the cloud segment accounting for 49%.
- Future Growth Potential: Analysts forecast a 17% revenue growth for fiscal 2026 and 29% for the following year, which could enhance Oracle's stock performance despite its current debt of $108 billion.
- Strategic Investment Returns: While Oracle's heavy investment in cloud infrastructure has increased its debt, its P/E ratio of 33 is close to the S&P 500 average of 31, indicating market confidence in its future growth prospects.
Continue Reading
Amazon Plans Up to $50 Billion Investment in OpenAI
- Massive Investment: Amazon is in talks to invest up to $50 billion in OpenAI as part of a broader fundraising round aiming to raise up to $100 billion, significantly bolstering OpenAI's financial resources.
- Far-reaching Market Impact: This investment will not only provide OpenAI with substantial funding to advance its AI technology development and applications but could also reshape the competitive landscape of the tech industry, prompting more companies to explore investment opportunities in AI.
- Strategic Collaboration Potential: The partnership between Amazon and OpenAI may facilitate deeper integration in cloud computing and AI, enhancing the competitiveness of Amazon Web Services and offering customers more advanced AI-driven solutions.
- Industry Trend Leadership: As tech giants ramp up investments in AI, Amazon's move reflects its confidence in the future of AI and may lead other companies in the industry to accelerate their own initiatives, driving rapid market growth.
Continue Reading