Oracle (NYSE:ORCL) Releases Quarterly Earnings Results, Beats Estimates By $0.04 EPS

Oracle (NYSE:ORCL) released its quarterly earnings results on Monday. The enterprise software provider reported $1.19 earnings per share for the quarter, beating the consensus estimate of $1.15 by $0.04, MarketWatch Earnings reports. Oracle had a negative return on equity of 470.73% and a net margin of 17.02%. The business had revenue of $12.45 billion during the quarter, compared to analysts’ expectations of $12.48 billion. During the same quarter last year, the business posted $0.81 EPS. The firm’s revenue for the quarter was up 8.8% compared to the same quarter last year. Oracle updated its Q2 guidance to $1.30-1.34 EPS.

Oracle Price Performance

Shares of NYSE ORCL opened at $109.61 on Wednesday. The stock’s 50-day simple moving average is $117.41 and its 200-day simple moving average is $105.85. The company has a debt-to-equity ratio of 55.54, a quick ratio of 0.91 and a current ratio of 0.91. The firm has a market capitalization of $297.51 billion, a PE ratio of 35.82, a price-to-earnings-growth ratio of 3.48 and a beta of 1.00. Oracle has a fifty-two week low of $60.78 and a fifty-two week high of $127.54.

Oracle Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, October 26th. Shareholders of record on Thursday, October 12th will be paid a $0.40 dividend. This represents a $1.60 dividend on an annualized basis and a yield of 1.46%. Oracle’s dividend payout ratio is presently 52.29%.

Analyst Upgrades and Downgrades

Several equities research analysts have weighed in on ORCL shares. Barclays reduced their price objective on Oracle from $150.00 to $147.00 and set an “overweight” rating on the stock in a research note on Tuesday. StockNews.com began coverage on shares of Oracle in a report on Thursday, August 17th. They set a “hold” rating on the stock. UBS Group cut their target price on Oracle from $140.00 to $135.00 and set a “buy” rating on the stock in a research note on Tuesday. Morgan Stanley raised their price target on Oracle from $105.00 to $106.00 and gave the stock an “equal weight” rating in a research note on Tuesday. Finally, JPMorgan Chase & Co. increased their target price on Oracle from $93.00 to $109.00 in a research note on Monday, June 12th. Twelve analysts have rated the stock with a hold rating and twelve have issued a buy rating to the company. According to MarketBeat, Oracle presently has an average rating of “Moderate Buy” and a consensus target price of $122.48.

Insider Transactions at Oracle

In related news, EVP Maria Smith sold 3,680 shares of the firm’s stock in a transaction dated Friday, July 7th. The stock was sold at an average price of $115.00, for a total transaction of $423,200.00. Following the transaction, the executive vice president now owns 16,600 shares of the company’s stock, valued at $1,909,000. The transaction was disclosed in a filing with the SEC, which is accessible through this link. In other Oracle news, Director Michael J. Boskin sold 90,000 shares of the firm’s stock in a transaction dated Friday, June 23rd. The shares were sold at an average price of $118.83, for a total transaction of $10,694,700.00. Following the sale, the director now directly owns 87,473 shares of the company’s stock, valued at approximately $10,394,416.59. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, EVP Maria Smith sold 3,680 shares of the company’s stock in a transaction that occurred on Friday, July 7th. The shares were sold at an average price of $115.00, for a total transaction of $423,200.00. Following the transaction, the executive vice president now directly owns 16,600 shares in the company, valued at approximately $1,909,000. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 4,175,443 shares of company stock worth $510,658,596. Insiders own 43.70% of the company’s stock.

Institutional Investors Weigh In On Oracle

A number of institutional investors have recently added to or reduced their stakes in the company. Studio Investment Management LLC purchased a new stake in Oracle during the 4th quarter worth $42,000. IMA Wealth Inc. lifted its position in Oracle by 30.5% during the 2nd quarter. IMA Wealth Inc. now owns 428 shares of the enterprise software provider’s stock worth $51,000 after acquiring an additional 100 shares in the last quarter. Milestone Investment Advisors LLC acquired a new stake in Oracle in the first quarter valued at approximately $56,000. First Capital Advisors Group LLC. purchased a new stake in shares of Oracle during the second quarter valued at approximately $93,000. Finally, Sanctuary Wealth Management L.L.C. purchased a new position in shares of Oracle in the fourth quarter valued at $104,000. Hedge funds and other institutional investors own 42.44% of the company’s stock.

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.