Oracle Corporation (ORCL) shares are on watch today as investors gear up for the company’s first-quarter earnings report, due out after the closing bell. All eyes will be on Oracle’s cloud service revenue, a crucial indicator in light of the burgeoning demand for AI and the company’s recently announced partnerships with OpenAI and Google.
Analysts are expecting a strong performance, projecting earnings of $1.32 per share on revenue of $13.23 billion, according to Benzinga Pro estimates. This optimism is reflected in Oracle’s stock performance. In the past 12 months, ORCL shares have gained over 20% and are currently trading above their 50-day moving average of $138.64. Investors seeking exposure to Oracle can consider ETFs like the Pacer Data And Digital Revolution ETF (TRFK) and the IShares Expanded Tech-Software Sector ETF (IGV).
Looking ahead, investors are naturally curious about the future trajectory of Oracle stock. When evaluating a stock’s long-term potential, it’s essential to consider factors like future earnings expectations and how the company is expected to perform against benchmarks. Over the past five years, Oracle’s revenue has grown at an average annual rate of 7.12%. Analysts’ average 1-year price target for ORCL is $149.74, representing a potential 5.81% upside in 2025.
While past performance doesn’t guarantee future success, historical data can provide valuable insights. Oracle’s stock has delivered an impressive annualized return of 18.35%, outperforming the S&P 500 index by 11.98% and demonstrating significant growth compared to the overall Information Technology sector, which has seen a 17.63% increase. Oracle’s beta of 1.15 indicates a relatively high level of volatility compared to the broader market.
At the time of writing, ORCL shares were trading down 0.47% at $142.47. Today’s earnings report will undoubtedly provide further clarity on the company’s financial health and future prospects, making it a significant event for investors closely watching Oracle’s journey in the dynamic world of cloud computing and artificial intelligence.