This article first appeared on GuruFocus.
Oracle (NYSE:ORCL) is heading into its fiscal Q2 earnings on Wednesday, Dec. 10, with Wall Street optimism mounting.
Analysts expect Oracle to report adjusted EPS of $1.64, up about 12% year-over-year, while revenue may climb 15% to $16.19 billion. Investor attention will focus on Oracle’s AI initiatives and their financial impact, along with capital expenditure and free cash flow guidance.
Top analysts at Bernstein and Barclays have reaffirmed Buy ratings on ORCL, citing recent stock weakness as an attractive entry point.
Bernstein’s Mark Moerdler set a $364 price target, signaling roughly 65% upside. He highlighted Oracle’s addition of over $300 billion in incremental business in recent months, despite a three-month stock decline.
Barclays’ Raimo Lenschow lowered ORCL’s price target to $330 but kept a Buy rating, noting concerns over an AI bubble have created a risk/reward environment attractive at current levels. Analysts see strong AI demand and solid execution driving confidence if fundamentals align.