ຂ້ອຍຄວນຂາຍຮຸ້ນ Oracle ຫຼັງຈາກ Piper Sandler ຫຼຸດລົງເປົ້າຫມາຍລາຄາຂອງມັນບໍ?

ບໍລິສັດ Oracle (NYSE: ORCL) advanced more than 4% after the company reported third-quarter results last Thursday.

Oracle is in a good position to grow its business, but  Brent Bracelin, an analyst from Piper Sandler, said that he prefers stocks like Microsoft, Salesforce, and Workday because these companies have higher growth prospects.

Piper Sandler lowered its price target


ທ່ານ ກຳ ລັງຊອກຫາຂ່າວໄວ, ຄຳ ແນະ ນຳ ທີ່ຮ້ອນແລະການວິເຄາະຕະຫລາດບໍ?

ລົງທະບຽນ ສຳ ລັບຈົດ ໝາຍ ຂ່າວ Invezz, ມື້ນີ້.

Oracle reported third-quarter results in March. 10, 2022; total revenue has increased by 4.2% Y/Y to $10.51 billion, while the non-GAAP earnings per share were $1.13 (misses by $0.05).

Total cloud services and license support revenues grew 8% Y/Y to $7.6 billion and accounted for 73% of total company revenue.

The company’s management expects the accelerating trends in the next quarter, and revenue for Q4 should grow between 6% to 8%. Non-GAAP earnings per share for Q4 should be between $1.40 and $1.44 despite significant investment costs in the last year.

The board of directors declared a $0.32/quarterly share dividend which will be payable on April 21 to stockholders of record as of April 07, 2022.

Despite this, third-quarter results and revenue outlook disappointed some analysts, and Oracle shares slumped slightly more than 2% to $75 in premarket trading on Friday.

Brent Bracelin, an analyst from Piper Sandler, lowered his price target to $70 from $100, noting concerns about operating risks and free cash flow margins.

Brent Bracelin said that he prefers stocks like Microsoft, Salesforce, and Workday because these companies have higher growth prospects and lower operating risk. Brent Bracelin added:

Few companies have executed a cloud model transition without a hiccup, and the drag on free cash flow margins is well documented and could also temper multiple expansions going forward.

Fundamentally looking, Oracle trades at less than twelve times TTM EBITDA, and with the market capitalization of $205 million, shares of this company are reasonably valued.

Oracle is in a good position to grow its business, but investors should consider that if the US stock market enters a more significant correction phase, the share price could be at much lower levels.

ການວິເຄາະດ້ານວິຊາການ

Oracle shares advanced more than 4% in the last five trading days, and the current share price stands at $80.

ແຫຼ່ງຂໍ້ມູນ: tradingview.com

The important support levels are $75 and $70; $85 and $90 represent the current resistance levels. If the price jumps above $85, it will signal trading Oracle shares, and the next target could be around $90 resistance.

On the other side, if the price falls below $75 support, it would be a strong “sell” signal, and the next target could be around $70.

Summary

Oracle reported third-quarter results last Thursday and Brent Bracelin, an analyst from Piper Sandler, lowered his price target to $70 from $100. Brent Bracelin said that he is still concerned about the pace of growth and the company’s commitment to growing free cash flow margins.

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Source: https://invezz.com/news/2022/03/16/should-i-sell-oracle-shares-after-piper-sandler-lowered-its-price-target/