TLDR
- Oracle stock has fallen for nine straight days, dropping 24% — its longest losing streak since December 2021.
- The stock is trading around $140, down roughly 27% over the past six months and near its 52-week low.
- 84% of Wall Street analysts covering ORCL rate it a Buy, with an average price target of $254.84.
- Investor concern centres on Oracle’s capital expenditure spending and growing debt pile.
- Piper Sandler sees ~$2.2 billion in potential OCI revenue in FY2027 not yet in current estimates.
Oracle (ORCL) stock is clawing back some ground Monday, up around 3.5% pre-market after nine consecutive days of losses. That streak wiped 24% off the stock — the worst run since December 2021.
The stock is currently trading near $140.27, close to its 52-week low and down 27% over the past six months. To put that in context, it’s also sitting 57% below its record closing high from September 10, 2025.
What makes the selloff stand out is the timing. The broader software sector has been recovering. The iShares Expanded Tech-Software Sector ETF posted a five-day winning streak through last Thursday, gaining more than 10% over that stretch. Oracle moved in the opposite direction.
Since closing at a 2026 high of $248.15 on June 1, the stock has fallen on 18 out of 22 trading days. That’s not a wobble — it’s a sustained retreat.
What’s Weighing on Investors
The core concern isn’t growth. It’s spending. Investors are uneasy about Oracle’s capital expenditure commitments and the size of its debt load. The company is building out serious AI infrastructure, and that costs money — a lot of it.
Piper Sandler, which kept its Overweight rating and a $225 price target, flagged these concerns directly. The firm pointed to worries around capital needed to fund AI infrastructure, customer concentration, margins, and how AI investments actually show up on the revenue line.
Mizuho’s Siti Panigrahi, one of the more bullish voices on the street with a $320 price target, noted Oracle will likely need outside financing to cover its capex. He listed “financing challenges” as a key risk — even while making the stock one of Mizuho’s top picks.
What the Bulls Are Saying
Despite the selloff, analyst conviction remains high. Fully 84% of analysts covering ORCL have it rated as a Buy, per FactSet. The only time that figure was higher in the past 20 years was briefly in May 2011.
The average price target sits at $254.84 — implying around 82% upside from last Thursday’s close.
KeyBanc raised its estimates last month, saying it’s grown “increasingly comfortable” that operating expense growth will stay controlled. They kept an Overweight rating with a $300 target, calling cost discipline the source of future upside.
Evercore ISI maintained an Outperform rating with a $245 target, pointing to Oracle’s AI backlog and the fact that its current remaining performance obligation hit $77 billion.
Piper Sandler’s analysis adds another angle: it sees roughly 2,400 megawatts of OCI capacity potentially coming online in fiscal year 2027, which could bring in around $2.2 billion in revenue not currently in consensus estimates.
Freedom Broker trimmed its target to $210 from $230 but kept a Buy rating, framing Oracle’s evolution toward AI compute infrastructure as a long-term positive.
Oracle’s PEG ratio currently sits at 0.69, which Piper Sandler flags as suggesting the stock looks undervalued relative to its growth rate.
Revenue growth over the last twelve months came in at 17%, and Piper Sandler noted the new CFO could bring more conservative guidance — potentially resetting expectations in a way that gives the stock room to recover.
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