The Austin company on Tuesday after the closing bell reported stronger-than-expected results for the fiscal fourth quarter ended May 31.
Analysts at Citi remained neutral with an $80 price target. The quarter featured "accelerating back-office cloud application growth and stable infrastructure performance," they said. But the biggest drivers of revenue upside were from lower-quality factors." The fourth quarter showed "growth, but a less reasonable price."
Oppenheimer maintained the stock at market perform. Oracle's outlook calls for faster growth but that growth will require higher capital spending. The shares "have priced in an acceleration of growth, but not necessarily the corresponding investments," the investment firm said.
Jefferies analysts maintained a hold rating while raising their price target to $80 from $75. The results were encouraging, but the investment firm doesn't see the stock being able to sustain its rally on low-single-digit growth.
Morgan Stanley maintained an equal-weight rating and $77 price target. Momentum in back-office apps is still strong and bookings growth has increased. The firm says investors will need to see further evidence of accelerating growth before bidding the stock higher.
Analysts at Piper Sander maintained a neutral rating while raising their price target to $80 from $57.
Shares of Oracle at last check dropped 5.7% to $76.98.