Scotiabank Has Negative Forecast for Oracle FY2027 Earnings

Oracle Corporation (NYSE:ORCL) – Analysts at Scotiabank reduced their FY2027 EPS estimates for Oracle in a research report issued to clients and investors on Wednesday, February 11th. Scotiabank analyst P. Colville now anticipates that the enterprise software provider will post earnings of $6.28 per share for the year, down from their previous forecast of $6.48. Scotiabank currently has a “Sector Outperform” rating and a $220.00 price objective on the stock. The consensus estimate for Oracle’s current full-year earnings is $5.00 per share.

Oracle (NYSE:ORCL) last posted its earnings results on Wednesday, December 10th. The enterprise software provider reported $2.26 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.64 by $0.62. The company had revenue of $16.06 billion during the quarter, compared to analysts’ expectations of $16.19 billion. Oracle had a net margin of 25.28% and a return on equity of 70.60%. Oracle’s quarterly revenue was up 14.2% compared to the same quarter last year. During the same quarter last year, the company posted $1.47 EPS.

A number of other research analysts have also commented on ORCL. Royal Bank Of Canada reaffirmed a “sector perform” rating on shares of Oracle in a report on Monday, February 2nd. Oppenheimer reiterated a “market perform” rating on shares of Oracle in a research note on Thursday, December 11th. Piper Sandler decreased their target price on shares of Oracle from $290.00 to $240.00 and set an “overweight” rating on the stock in a research report on Monday, February 2nd. HSBC reaffirmed a “buy” rating and set a $382.00 target price on shares of Oracle in a report on Wednesday, November 26th. Finally, Bank of America reduced their price target on Oracle from $368.00 to $300.00 and set a “buy” rating on the stock in a research report on Thursday, December 11th. Three research analysts have rated the stock with a Strong Buy rating, twenty-six have issued a Buy rating, eleven have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $292.43.

Oracle Price Performance

Shares of NYSE ORCL opened at $156.50 on Thursday. The firm has a market cap of $449.63 billion, a P/E ratio of 29.42, a price-to-earnings-growth ratio of 1.37 and a beta of 1.64. The business’s 50 day moving average is $184.88 and its 200-day moving average is $231.79. The company has a current ratio of 0.91, a quick ratio of 0.91 and a debt-to-equity ratio of 3.28. Oracle has a 1-year low of $118.86 and a 1-year high of $345.72.

Institutional Investors Weigh In On Oracle

Institutional investors have recently added to or reduced their stakes in the business. HFM Investment Advisors LLC increased its stake in shares of Oracle by 290.9% in the fourth quarter. HFM Investment Advisors LLC now owns 129 shares of the enterprise software provider’s stock valued at $25,000 after buying an additional 96 shares during the period. Basepoint Wealth LLC bought a new stake in Oracle in the fourth quarter valued at approximately $26,000. Winnow Wealth LLC acquired a new stake in Oracle during the 2nd quarter valued at approximately $28,000. FSA Wealth Management LLC bought a new position in Oracle during the 3rd quarter worth approximately $28,000. Finally, Joseph Group Capital Management bought a new position in Oracle during the 4th quarter worth approximately $29,000. 42.44% of the stock is owned by institutional investors.

Insiders Place Their Bets

In other news, Director Naomi O. Seligman sold 2,223 shares of the firm’s stock in a transaction that occurred on Tuesday, December 23rd. The shares were sold at an average price of $196.61, for a total value of $437,064.03. Following the sale, the director directly owned 25,596 shares in the company, valued at approximately $5,032,429.56. This trade represents a 7.99% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, EVP Douglas A. Kehring sold 35,000 shares of the stock in a transaction that occurred on Thursday, January 15th. The shares were sold at an average price of $194.89, for a total transaction of $6,821,150.00. Following the completion of the transaction, the executive vice president directly owned 33,638 shares of the company’s stock, valued at approximately $6,555,709.82. The trade was a 50.99% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 72,223 shares of company stock valued at $13,689,064 in the last quarter. Corporate insiders own 40.90% of the company’s stock.

Oracle Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, January 23rd. Stockholders of record on Friday, January 9th were issued a dividend of $0.50 per share. The ex-dividend date of this dividend was Friday, January 9th. This represents a $2.00 dividend on an annualized basis and a dividend yield of 1.3%. Oracle’s payout ratio is 37.59%.

Key Stories Impacting Oracle

Here are the key news stories impacting Oracle this week:

• Positive Sentiment: Federal/corporate contract wins — Oracle secured a new U.S. Air Force OCI task order (~$88M) and was selected by CMS for cloud modernization, underpinning durable, mission‑critical cloud revenue and validating OCI in government programs. U.S. Department of the Air Force accelerates cloud modernization with Oracle
• Positive Sentiment: Product and health‑market momentum — Oracle rolled out AI agents for Fusion apps and expanded Oracle Health Clinical AI offerings (now in the UK), supporting SaaS adoption, higher RPO and potential upsell into large enterprise and healthcare customers. Oracle Unveils AI Agents for Fusion Apps
• Neutral Sentiment: Analyst activity is mixed — the stock is sensitive to analyst calls (recent upgrades drove rallies) even as some firms trim targets; this keeps volatility high around newsflow. DA Davidson Upgrades Oracle to Buy
• Neutral Sentiment: AI/OpenAI narrative remains a two‑edged sword — optimism about OpenAI exposure supports upside but remains sentiment‑driven and tied to Oracle’s ability to monetize AI investments at scale. Oracle gets boost from OpenAI optimism
• Negative Sentiment: Legal overhang — multiple law firms have filed or solicited plaintiffs in securities‑class actions covering June–Dec 2025 and the April 6 lead‑plaintiff deadline, creating litigation risk, potential damages and investor uncertainty. Investors in Oracle Should Contact Levi & Korsinsky
• Negative Sentiment: Insider sale — CEO disclosed a ~$1.55M sale of 10,000 shares; while often routine, such sales can be perceived negatively and add near‑term sentiment pressure. SEC Form 4 — Clayton M. Magouyrk sale
• Negative Sentiment: Analyst cuts / scrutiny of AI monetization — some shops trimmed estimates (e.g., Scotiabank lowered FY27 EPS) and groups like Melius flagged risks around AI monetization and leverage, which can fuel negative trading on mixed headlines. Melius downgrades Oracle to Hold

Oracle Company Profile

Oracle Corporation is a multinational technology company that develops and sells database software, cloud engineered systems, enterprise software applications and related services. The company is widely known for its flagship Oracle Database and a portfolio of enterprise-grade software products that support data management, application development, analytics and middleware. Over recent years Oracle has expanded its focus to include cloud infrastructure and cloud applications, positioning itself as a provider of both platform and software-as-a-service solutions for large organizations.

Oracle’s product and service offerings include Oracle Database and the Autonomous Database, Oracle Cloud Infrastructure (OCI), enterprise resource planning (ERP), human capital management (HCM) and supply chain management (SCM) cloud applications (often grouped under Oracle Fusion Cloud Applications), middleware such as WebLogic, and developer technologies including Java and MySQL.