Fintel reports that on September 13, 2023, JP Morgan downgraded their outlook for Oracle (NYSE:ORCL) from Overweight to Neutral.

Analyst Price Forecast Suggests 14.57% Upside

As of August 31, 2023, the average one-year price target for Oracle is 128.14. The forecasts range from a low of 55.55 to a high of $157.50. The average price target represents an increase of 14.57% from its latest reported closing price of 111.84.

See our leaderboard of companies with the largest price target upside.

The projected annual revenue for Oracle is 54,047MM, an increase of 6.05%. The projected annual non-GAAP EPS is 5.78.

Oracle Declares $0.40 Dividend

On September 11, 2023 the company declared a regular quarterly dividend of $0.40 per share ($1.60 annualized). Shareholders of record as of October 12, 2023 will receive the payment on October 26, 2023. Previously, the company paid $0.40 per share.

At the current share price of $111.84 / share, the stock’s dividend yield is 1.43%.

Looking back five years and taking a sample every week, the average dividend yield has been 1.64%, the lowest has been 1.26%, and the highest has been 2.25%. The standard deviation of yields is 0.17 (n=236).

The current dividend yield is 1.23 standard deviations below the historical average.

Additionally, the company’s dividend payout ratio is 0.46. The payout ratio tells us how much of a company’s income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company’s income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend – not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.

The company’s 3-Year dividend growth rate is 0.67%, demonstrating that it has increased its dividend over time.

What is the Fund Sentiment?

There are 3660 funds or institutions reporting positions in Oracle. This is an increase of 196 owner(s) or 5.66% in the last quarter. Average portfolio weight of all funds dedicated to ORCL is 0.67%, an increase of 10.80%. Total shares owned by institutions decreased in the last three months by 2.23% to 1,313,722K shares. The put/call ratio of ORCL is 0.68, indicating a bullish outlook.

What are Other Shareholders Doing?

VTSMX – Vanguard Total Stock Market Index Fund Investor Shares holds 46,298K shares representing 1.71% ownership of the company. In it’s prior filing, the firm reported owning 45,902K shares, representing an increase of 0.86%. The firm increased its portfolio allocation in ORCL by 19.27% over the last quarter.

VFINX – Vanguard 500 Index Fund Investor Shares holds 36,640K shares representing 1.35% ownership of the company. In it’s prior filing, the firm reported owning 35,861K shares, representing an increase of 2.13%. The firm increased its portfolio allocation in ORCL by 18.60% over the last quarter.

Jpmorgan Chase holds 34,102K shares representing 1.26% ownership of the company. In it’s prior filing, the firm reported owning 33,639K shares, representing an increase of 1.36%. The firm increased its portfolio allocation in ORCL by 823.01% over the last quarter.

Geode Capital Management holds 29,109K shares representing 1.07% ownership of the company. In it’s prior filing, the firm reported owning 27,754K shares, representing an increase of 4.66%. The firm increased its portfolio allocation in ORCL by 21.60% over the last quarter.

Loomis Sayles & Co L P holds 19,969K shares representing 0.74% ownership of the company. In it’s prior filing, the firm reported owning 20,658K shares, representing a decrease of 3.45%. The firm increased its portfolio allocation in ORCL by 109.81% over the last quarter.

Oracle Background Information
(This description is provided by the company.)

The Oracle Cloud offers a complete suite of integrated applications for Sales, Service, Marketing, Human Resources, Finance, Supply Chain and Manufacturing, plus Highly- Automated and Secure Generation 2 Infrastructure featuring the Oracle Autonomous Database.

This article originally appeared on Fintel

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