<div class="textg" style="text-align: justify;font-weight: lighter;line-height: 1.3em;font-size: 15px;border-radius: 3px;color: #80909a;padding: 10px;background-color: #F4F6F9;margin-bottom: 15px">
  Neither the author, Tim Fries, nor this website, The Tokenist, provide financial advice. Please consult our&nbsp;<a href="https://tokenist.com/terms-of-service/" style="text-decoration:underline;color:#3c7b7b" target="_blank" rel="noopener noreferrer nofollow" class="deco-link">website policy</a>&nbsp;prior to making financial decisions. 
</div> 
<p class="has-drop-cap">Oracle saw its stock price plunge nearly 10% in market pre-open on Tuesday after the company <a aria-label="issued weaker-than-expected guidance (opens in a new tab)" href="https://investor.oracle.com/investor-news/news-details/2023/Oracle-Announces-Fiscal-2024-First-Quarter-Financial-Results/default.aspx#:~:text=Q1%20GAAP%20earnings%20per%20share%20was%20%240.86%20while%20non%2DGAAP,deferred%20revenues%20were%20%2411.1%20billion." target="_blank" rel="noopener noreferrer nofollow" class="deco-link">issued weaker-than-expected guidance</a> for the fiscal Q2 2024. Nevertheless, despite the slip-up, Global Equities Research and Guggenheim analysts <a href="https://www.barrons.com/articles/oracle-stock-buy-ai-earnings-results-4f7616e8" target="_blank" aria-label="reiterated (opens in a new tab)" rel="noopener noreferrer nofollow" class="deco-link">reiterated</a> their bullishness on Oracle. </p> 
<h3 id="oracle-s-q2-guidance-off-the-mark">Oracle’s Q2 Guidance Off the Mark</h3> 
<p>Shares of Oracle are plummeting sharply in premarket trading Tuesday after the software provider reported disappointing guidance for the current quarter. Meanwhile, earnings and revenue for the fiscal Q1 2024 were roughly aligned with Wall Street estimates.</p> 
<p>The company reported adjusted earnings per share of $1.19 in the first quarter, slightly stronger than analysts’ projected $1.15 per share. Revenue came in at $12.45 billion, while analysts were looking for $12.47 billion.</p> 
<p>Year-over-year, revenue grew 9% in the quarter that ended on August 31. Meanwhile, net income increased to $2.42 billion, or 86 cents per share, compared to $1.55 billion, or 56 cents per share, reported in the same period last year.&nbsp;</p> 
<p>However, the software maker missed the mark regarding fiscal Q2 guidance. In particular, Oracle is forecasting an adjusted net income of $1.30 to $1.34 per share and revenue growth of 5-7%, while analysts called for $1.33 in adjusted earnings and revenue growth of 8%.&nbsp;</p> 
<div class="cta-referral"> 
 <img src="https://tokenist.com/wp-content/themes/thetokenist/assets/img/del/cta-referral-1.png" alt="" class="cta-referral__img" loading="lazy" decoding="async"> 
 <div class="cta-referral__text"> 
  <p>Join our&nbsp;<a href="https://t.me/thetokenist" target="_blank" rel="noopener noreferrer nofollow">Telegram group</a>&nbsp;and never miss a breaking digital asset story.</p> 
 </div> 
</div> 
<h3 id="analysts-bullish-on-oracle-despite-weak-q2-outlook">Analysts Bullish on Oracle Despite Weak Q2 Outlook</h3> 
<p>Despite poor Q2 guidance and the subsequent share price drop, Global Equities Research analysts led by Trip Chowdry remain optimistic about Oracle’s stock. The strategists see the latest dip as a buying opportunity, citing strong revenue growth in the company’s cloud infrastructure as the reasoning behind its bull case.&nbsp;</p> 
<p>Additionally, Oracle can charge its customers significantly more than <a href="https://tokenist.com/chatgpts-website-traffic-down-9-7-from-june-as-ai-fatigue-sets-in-report/" rel="noopener noreferrer nofollow" class="deco-link">ChatGPT</a> maker OpenAI, the analysts wrote in a note to clients. Global Equities Research’s <a aria-label="price target (opens in a new tab)" href="https://www.nasdaq.com/market-activity/stocks/orcl/analyst-research" target="_blank" rel="noopener noreferrer nofollow" class="deco-link">price target</a> for Oracle’s stock sits at $140, compared to its current premarket price of $114.50.&nbsp;</p> 
<p>Guggenheim analysts, spearheaded by John DiFucci, shared this sentiment, reiterating that Oracle’s growth story remains intact despite the last earnings report. The global investment firm set a price objective for Oracle at $150 per share.&nbsp;</p> 
<div class="cta-sub js__cta-sub"> 
 <div class="cta-sub__start" data-step="1"> 
  <div class="cta-sub__title"> <strong>Finance is changing.</strong> 
  </div> 
  <div class="cta-sub__subtitle">
    Learn how, with Five Minute Finance. 
  </div> 
  <div class="cta-sub__excerpt">
    A weekly newsletter that covers the big trends in FinTech and Decentralized Finance. 
  </div> <button type="button" class="btn">Try it out (for free)</button> 
 </div> 
 <div class="cta-sub__form" data-step="2" style="display: none;"> 
  <script type="text/javascript" src="https://app.getresponse.com/view_webform_v2.js?u=QcLhh&amp;webforms_id=zw3Wv"></script> 
 </div> 
 <div class="cta-sub__result" data-step="3" style="display: none;"> 
  <div class="cta-sub__title">
    Awesome 
  </div> 
  <div class="cta-sub__caption">
    You’ve subscribed. 
  </div> 
  <div class="cta-sub__greeting">
    You’re well on your way to being in the know. 
  </div> 
 </div> 
</div> 
<p><em><strong>Do you agree with analysts’ views that Oracle remains well-positioned to grow despite the latest earnings report? Let us know in the comments below.&nbsp;</strong></em></p> 
<p>The post <a rel="noopener noreferrer nofollow" href="https://tokenist.com/analysts-see-potential-in-oracle-despite-shares-plunging-in-premarket/">Analysts See Potential in Oracle Despite Shares Plunging in Premarket</a> appeared first on <a rel="noopener noreferrer nofollow" href="https://tokenist.com">Tokenist</a>.</p>

Analysts See Potential in Oracle Despite Shares Plunging in Premarket

Table of Contents

Tokenist

Other articles published on Sep 12, 2023

Franklin Templeton Applies for a Spot Bitcoin ETF With the U.S. SEC

Vitalik confirms X hack as a sim swap

Firms Send 14,000 Ethereum, 236 Bitcoin to Exchanges: XRP Triumphs

Shiba Inu Rebounds Above $0.00000715 Support: What’s Next?

IOTA Excites Community With Mainnet Upgrade, What Changed?

Former Celsius CEO Mashinsky seeks dismissal of FTC case

Join our free newsletter for daily crypto updates!