Oracle's 'Stunning' Targets Have Wall Street Analysts Growing More Bullish
Key Takeaways
- Several analysts raised their price targets for Oracle stock after the company delivered higher-than-expected revenue growth estimates.
- Oracle expects cloud infrastructure growth to increase from 50% last fiscal year to more than 70%.
- Deutsche Bank called Oracle’s results a “watershed cloud moment.”
Oracle (ORCL) is calling its shot. The cloud computing giant said it expects “dramatically higher” revenue growth in its current fiscal year, prompting several analysts to lift their price targets.
KeyBanc said Oracle’s growth projections were “stunning” in a note to clients following the company’s quarterly results and raising its price target to $225 from $200. The bank pointed to comments from CEO Safra Catz that Oracle expects cloud infrastructure growth to increase from 50% in fiscal 2025 to more than 70% in fiscal 2026. Catz also called for a doubling in remaining performance obligations, a measure of revenue from contracts that has yet to be realized.
Deutsche Bank went even further, moving from $200 to $240 and calling Oracle’s results a “watershed cloud moment.” UBS meanwhile raised its target to $225 and Jefferies moved to $220, both from $200.
“Oracle is clearly winning on several fronts, most of which we believe is still largely under appreciated,” Deutsche Bank said.
Shares of Oracle soared 15% in recent trading, leading all S&P 500 gainers. The stock has risen 21% in 2025.