From Nasdaq: 2025-03-20 07:06:00

Oracle’s (NYSE: ORCL) stock price pullback presents a buying opportunity, down 25% from highs. Trading at a value relative to peers, earnings outlook, and technical price action, Oracle’s growth outlook points to a potential 20% rise in 2025. Analysts forecast a double-digit upside, with a solid upgrade from Sell to Neutral.

Oracle’s dive into data centers and AI services positions it as a hyperscaler with rapid growth potential. Despite owning 2% of the global cloud market, Oracle’s cloud business is expected to grow at a high double-digit pace in 2025 and beyond. Deals with Amazon, Microsoft, and Alphabet give it a significant data center footprint.

With a strong dividend growth trajectory, Oracle’s payout ratio is sustainable, with potential for increasing payouts annually. Analysts predict a 200% to 250% rise in stock price by aligning the 2034 P/E multiple with the 2025 multiple. The company’s focus on AI infrastructure and data management sets the stage for robust growth.

Technical indicators suggest Oracle’s stock price has hit bottom and is set to rebound. Strengthening support near the $150 level indicates a bullish price swing towards the consensus target of $180 or higher. However, breaking resistance at $160 may require a shift in broad market sentiment.



Read more at Nasdaq:: 5 Reasons Oracle Is Undervalued and Ready to Rebound