KeyCorp Issues Pessimistic Forecast for Oracle Earnings

Oracle Corporation (NYSE:ORCL) – Equities researchers at KeyCorp decreased their Q2 2027 earnings estimates for Oracle in a report released on Thursday, September 10th. KeyCorp analyst J. Ader now expects that the enterprise software provider will post earnings per share of $1.57 for the quarter, down from their previous forecast of $1.62. The consensus estimate for Oracle’s current full-year earnings is $6.62 per share. KeyCorp also issued estimates for Oracle’s Q3 2027 earnings at $1.73 EPS, Q4 2027 earnings at $1.91 EPS, FY2027 earnings at $6.82 EPS and FY2028 earnings at $8.95 EPS.

Oracle (NYSE:ORCL) last posted its earnings results on Thursday, September 10th. The enterprise software provider reported $1.92 EPS for the quarter, topping analysts’ consensus estimates of $1.74 by $0.18. The business had revenue of $19.34 billion for the quarter, compared to analysts’ expectations of $19.13 billion. Oracle had a net margin of 26.36% and a return on equity of 48.85%. The business’s revenue for the quarter was up 29.6% compared to the same quarter last year. During the same period in the previous year, the company posted $1.47 earnings per share. Oracle has set its Q2 2027 guidance at 1.850-1.930 EPS and its FY 2027 guidance at 8.100-8.100 EPS.

A number of other equities analysts have also recently weighed in on the stock. UBS Group upped their price objective on shares of Oracle from $245.00 to $250.00 and gave the company a “buy” rating in a research report on Friday, September 11th. Scotiabank cut their price target on Oracle from $241.00 to $215.00 and set a “sector outperform” rating on the stock in a research note on Wednesday, September 9th. Cantor Fitzgerald reissued an “overweight” rating and issued a $284.00 price target on shares of Oracle in a report on Friday, September 11th. Wolfe Research restated an “outperform” rating and set a $225.00 price objective on shares of Oracle in a report on Thursday, June 11th. Finally, Evercore reaffirmed an “outperform” rating and issued a $245.00 target price on shares of Oracle in a research report on Monday, June 8th. Two investment analysts have rated the stock with a Strong Buy rating, thirty have given a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $252.58.

Oracle Stock Performance

Oracle stock opened at $143.20 on Thursday. Oracle has a 12-month low of $114.50 and a 12-month high of $329.50. The company has a market capitalization of $433.00 billion, a price-to-earnings ratio of 22.45, a price-to-earnings-growth ratio of 1.01 and a beta of 1.74. The company has a debt-to-equity ratio of 1.89, a current ratio of 1.17 and a quick ratio of 1.12. The firm’s fifty day moving average price is $141.12 and its 200 day moving average price is $160.41.

Institutional Investors Weigh In On Oracle

A number of institutional investors and hedge funds have recently bought and sold shares of the business. Norges Bank acquired a new position in shares of Oracle in the 4th quarter valued at about $4,336,031,000. Bank of New York Mellon Corp acquired a new position in Oracle in the 2nd quarter valued at approximately $1,911,930,000. Capital Research Global Investors increased its stake in Oracle by 29.3% in the 4th quarter. Capital Research Global Investors now owns 30,137,126 shares of the enterprise software provider’s stock valued at $5,874,070,000 after buying an additional 6,826,299 shares during the period. Cardano Risk Management B.V. lifted its position in Oracle by 882.3% in the 4th quarter. Cardano Risk Management B.V. now owns 4,991,010 shares of the enterprise software provider’s stock worth $972,798,000 after buying an additional 4,482,934 shares in the last quarter. Finally, Mitsubishi UFJ Asset Management Co. Ltd. acquired a new stake in shares of Oracle during the 2nd quarter valued at $625,454,000. 42.44% of the stock is owned by institutional investors and hedge funds.

Insider Buying and Selling at Oracle

In other news, Vice Chairman Jeffrey Henley sold 400,000 shares of the business’s stock in a transaction that occurred on Wednesday, June 24th. The stock was sold at an average price of $159.16, for a total value of $63,664,000.00. Following the completion of the sale, the insider directly owned 400,000 shares in the company, valued at approximately $63,664,000. The trade was a 50.00% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 40.90% of the company’s stock.

Oracle Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, October 23rd. Shareholders of record on Friday, October 9th will be issued a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a yield of 1.4%. The ex-dividend date of this dividend is Friday, October 9th. Oracle’s dividend payout ratio (DPR) is currently 31.35%.

More Oracle News

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Analysts raised longer-term earnings forecasts. KeyCorp lifted its FY2027 EPS estimate to $6.82 from $6.50 and its FY2028 estimate to $8.95 from $8.70. It also raised Q3 and Q4 FY2027 forecasts, partly offset by a small reduction to its Q2 estimate. The upward revisions reinforce expectations for accelerating profitability. KeyCorp Oracle earnings estimates
• Positive Sentiment: Recent results highlighted strong operating momentum. Oracle exceeded quarterly EPS and revenue expectations, with revenue up nearly 30% year over year. Cloud infrastructure revenue, a $664 billion remaining performance obligation, and accelerating AI demand support the bullish case for future growth. Oracle beats Q1 estimates
• Positive Sentiment: Restructuring may help finance the AI buildout. Reported job cuts and broader cost controls could improve efficiency and redirect funds toward data centers and AI infrastructure. Investors appear to be treating the restructuring as a way to manage Oracle’s spending requirements rather than solely as a sign of weakening demand. Oracle restructuring helps finance AI spending
• Neutral Sentiment: OpenAI-related developments are supporting sentiment but add concentration risk. Reports of potential new financing at a valuation above $1.2 trillion may reassure investors that demand for AI compute remains strong, benefiting infrastructure suppliers such as Oracle. Still, Oracle’s close relationship with OpenAI means any change in that customer’s funding, strategy, or infrastructure plans could affect expectations. OpenAI valuation could lift Oracle
• Negative Sentiment: Cash flow and leverage remain the main overhangs. Oracle is investing heavily in AI data centers and reportedly considering substantial financing while continuing to burn cash on infrastructure. Rising borrowing costs could pressure margins and shareholder returns, particularly if AI demand or customer utilization slows. Oracle financing plan and debt risks

Oracle Company Profile

Oracle Corporation is a global enterprise technology company that develops and provides database software, cloud infrastructure, business applications and related technology services. Its offerings help organizations manage data, run applications, support business operations and build technology environments across on-premises, hybrid and cloud-based settings.

The company’s products include Oracle Database, MySQL, Java, Oracle Cloud Infrastructure and a broad portfolio of cloud applications for enterprise resource planning, financial management, human resources, supply chain management, customer experience and industry-specific operations.