Goldman Sachs Reiterates Buy on Oracle, Lowers Target to $35

Goldman Sachs maintains its Buy rating on Oracle (NASDAQ: ORCL) and lowers its price target to $35 from $39 per share as the company's revenue and EPS came below guidance range.

Goldman Sachs comments, "Oracle reported 2QFY12 results after the close December 20. For the first time since November 2008 (and only twice in the prior 26 quarters), the company came in below the low end of its guidance range for both total revenue and EPS. License sales also posted results below the low end of the guidance range (+2% vs. guidance of +6%-16%) for only the fourth time in 22 quarters. We note that currency movements resulted in a 100bp headwind on license revenue (vs. guidance of a 100bp tailwind)."

ORCL closed at $29.17 per share on Tuesday.