Oracle (NYSE:ORCL) Trading Down 5.8% – Here’s What Happened

Shares of Oracle Co. (NYSE:ORCL) traded down 5.8% during trading on Thursday . The stock traded as low as $136.82 and last traded at $137.33. 4,481,967 shares changed hands 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 analysts have recently weighed in on the stock. Stephens initiated coverage on shares of Oracle in a report on Wednesday, March 19th. They issued an “equal weight” rating and a $167.00 target price on the stock. BMO Capital Markets reduced their price target on Oracle from $205.00 to $175.00 and set a “market perform” rating for the company in a report on Tuesday, March 11th. BNP Paribas raised Oracle to a “strong-buy” rating in a report on Tuesday, December 10th. Citigroup decreased their target price on shares of Oracle from $194.00 to $160.00 and set a “neutral” rating on the stock in a research report on Wednesday, March 12th. Finally, Stifel Nicolaus cut their price target on shares of Oracle from $175.00 to $150.00 and set a “hold” rating for the company in a report on Tuesday, March 11th. Thirteen equities research analysts have rated the stock with a hold rating, sixteen have issued a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat, Oracle presently has a consensus rating of “Moderate Buy” and an average price target of $178.65.

Oracle Price Performance

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

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

Oracle Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, April 23rd. Investors of record on Thursday, April 10th will be issued a $0.50 dividend. This is a positive change from Oracle’s previous quarterly dividend of $0.40. The ex-dividend date is Thursday, April 10th. This represents a $2.00 annualized dividend and a yield of 1.46%. Oracle’s dividend payout ratio (DPR) is presently 46.95%.

Insiders Place Their Bets

In related news, CEO Safra Catz sold 2,101,154 shares of the business’s stock in a transaction that occurred on Wednesday, January 22nd. The stock was sold at an average price of $185.35, for a total transaction of $389,448,893.90. Following the transaction, the chief executive officer now directly owns 1,118,592 shares of the company’s stock, valued at approximately $207,331,027.20. The trade was a 65.26 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. 42.20% of the stock is owned by insiders.

Hedge Funds Weigh In On Oracle

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Norges Bank purchased a new stake in Oracle during the 4th quarter worth approximately $2,216,314,000. Raymond James Financial Inc. bought a new position in shares of Oracle during the fourth quarter worth about $930,095,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC increased its holdings in Oracle by 20.5% in the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 13,825,360 shares of the enterprise software provider’s stock valued at $2,303,858,000 after buying an additional 2,350,448 shares during the last quarter. Vanguard Group Inc. raised its stake in Oracle by 1.5% during the fourth quarter. Vanguard Group Inc. now owns 157,411,949 shares of the enterprise software provider’s stock valued at $26,231,127,000 after buying an additional 2,296,069 shares in the last quarter. Finally, Kovitz Investment Group Partners LLC grew its position in shares of Oracle by 268.4% in the 4th quarter. Kovitz Investment Group Partners LLC now owns 3,077,947 shares of the enterprise software provider’s stock worth $512,909,000 after acquiring an additional 2,242,520 shares in the last quarter. 42.44% of the stock is owned by hedge funds and other institutional investors.

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.