UPDATE: Canaccord Genuity Upgrades Oracle Corporation to Buy; Hardware Revenues to Increase

Canaccord Genuity upgraded Oracle Corporation ORCL from Hold to Buy and raised the price target from $35.00 to $42.00. Canaccord Genuity analyst Richard Davis commented, "We expect hardware revenues to begin to increase y-o-y in the next quarter or two, and for the balance of the firm's business to be at least as good as we have forecast. ORCL is valued at 11x our calendar 2013 EPS estimate. This is a bottom quartile valuation for the stock over the past 10 years. We believe the combination of these factors could lead to a 1 multiple point expansion, and when this is added to a projected 9-11% full year EPS growth with relatively easy comparisons in the May and August quarters, you could see ORCL advance 20% within a year." Oracle Corporation closed at $35.43 on Tuesday.