Market Overview

Oracle Extends Losses; Analysts See More Tough Sledding

Related ORCL
Earnings Season: Your Guide To When Each Sector Reports
Analyst: Blockchain Is The Biggest Thing Since The Internet And Cryptocurrencies Are Just The First Generation Of Its Applications
Danger Zone Highlights And Lowlights From 2017 (Seeking Alpha)

Analysts mostly see continued tough sledding for Oracle (NYSE: ORCL) as its shares extended losses Friday on a fourth-quarter earnings miss.

Oracle posted adjusted earnings of $0.92 per share, up six percent from a year earlier, on revenue growth of three percent, to $11.3 billion late Friday. Analysts expected $0.95 per share on revenue of $11.5 billion.

Citi's Walter Pritchard downgraded the shares to Neutral and said results mean "the stock becomes a 'show me.'" Pritchard added in a note that among large-cap software stocks, he prefers SAP AG. "Europe is strengthening relative to the U.S." and SAP's product line may drive business.

Sterne Agee's Robert Breza maintained a Neutral rating and a $41 target. Breza said in a note that the recent quarter "may leave investors cautious about future results."

Similarly, Richard Williams of Summit Research maintained a Hold and said a slowdown in growth is likely to continue.

"The first quarter is looking almost as challenging as the fourth," Williams said in a research note.

An outlier on Wall street, Nomura's Rick Sherlund maintains a Buy on Oracle.

"Investors should focus on what Oracle is doing now to better position itself and where they are going over the next few years as they begin to emerge from this transition," Sherlund said in a note maintaining a $46 target.

Shares of Oracle were last trading at $40.69, down over four percent.

Latest Ratings for ORCL

Jan 2018Morgan StanleyUpgradesEqual-WeightOverweight
Dec 2017RBC CapitalDowngradesOutperformSector Perform
Nov 2017UBSAssumesBuyNeutral

View More Analyst Ratings for ORCL
View the Latest Analyst Ratings

Posted-In: Citi Richard WilliamsAnalyst Color Earnings News Price Target Reiteration Analyst Ratings


Related Articles (ORCL)

View Comments and Join the Discussion!