Oracle Stock Down 60% Since September, Q3 Revenue Estimated at $16.9B
Analysts expect Oracle’s Q3 revenue to reach $16.90 billion, up from $14.13 billion a year earlier, with EPS of $1.55 versus $1.47. Shares have fallen about 60% from September highs and major brokerages have cut price targets to between $215 and $320 ahead of earnings.
1. Q3 Earnings Projections
Analysts forecast Oracle’s third-quarter revenue at $16.90 billion, up from $14.13 billion a year earlier, and GAAP EPS of $1.55 versus $1.47. The company has missed revenue estimates in eight of the past ten quarters while surpassing EPS forecasts in eight of the last ten.
2. Share Price Decline
Oracle shares have slid roughly 60% since their September peak and are down 11% following the most recent quarterly results. The stock is testing support near $140 and trading below its 50-day moving average, suggesting ongoing investor caution.
3. Price Target Adjustments
Major brokerages have trimmed Oracle price targets, with Deutsche Bank at $300, Barclays at $230, Jefferies at $320, TD Cowen at $250 and Scotiabank at $215. These revisions reflect concerns over borrowing costs and uncertainty around cloud data centre partnerships.
4. Key Metrics To Monitor
Investors will focus on cloud revenue growth, which was 24% in Q2, and remaining performance obligations of $523 billion, up 438% year-over-year. The multicloud database business, which saw 817% year-over-year growth, will also be watched if breakdowns are provided.