Oracle price target raised to $315 from $240 at Citizens JMP

Investing.com - Citizens JMP raised its price target on Oracle (NYSE:ORCL) to $315 from $240 on Friday, maintaining a Market Outperform rating on the software giant’s stock. The target represents significant upside from Oracle’s current trading price of $248.75, with the stock already showing impressive momentum, gaining over 82% in the past year and currently trading near its 52-week high of $251.60.

The price target increase represents a significant 31% upward revision from the firm’s previous valuation of Oracle shares.

Citizens JMP’s new target implies a calendar year 2026 estimated enterprise value to revenue multiple of 13.4x, up from the previous 10.5x multiple.

The revised valuation also reflects a price-to-earnings ratio of 40x, compared to the previous 30x multiple, representing a 15% premium to the large-cap software peer group median P/E multiple.

Citizens JMP justified the premium valuation based on Oracle’s leading market position and accelerating growth trajectory in the enterprise software sector. The company’s revenue grew 8.4% over the last twelve months to $57.4 billion, with analysts forecasting 17% growth for fiscal year 2026. For more detailed valuation metrics and 20+ additional ProTips, check out the comprehensive Oracle analysis on InvestingPro.

In other recent news, Oracle has seen several significant developments. UBS has raised its price target for Oracle to $280, maintaining a Buy rating due to expectations of AI-driven growth. The firm anticipates a potential collaboration with OpenAI, which could significantly impact Oracle’s revenue and operating margins by fiscal year 2029. Cantor Fitzgerald also increased its price target to $271, citing strong growth in Oracle Cloud Infrastructure and multicloud operations, with projections exceeding consensus estimates for the coming years. Evercore ISI raised its price target to $270, highlighting Oracle’s strong fiscal year 2026 outlook and a substantial $30 billion annual contract.

In a separate development, Oracle has reached a settlement with Rimini Street (NASDAQ:RMNI), resolving a long-standing legal dispute. The agreement includes Oracle returning $37.8 million to Rimini Street, with both companies agreeing to a litigation standstill during the wind-down of certain services. Additionally, Piper Sandler upgraded Oracle to Overweight, raising its price target to $270, driven by increased enterprise momentum and strong AI growth potential. These recent updates reflect Oracle’s expanding influence in AI and cloud services, alongside resolving legal challenges.

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