Oracle Is Rocketing on Earnings. Here’s Where Option Data Tells Us ORCL Stock Could Be in 2 Days and at the End of 2025

Oracle (ORCL) shares soared as much as 40% on Wednesday after the legacy technology company reported blockbuster earnings for its fiscal Q1 and issued ambitious guidance for the long term. 

Oracle now expects its annual AI-driven cloud revenue to hit $144 billion by the end of this decade. In comparison, its forecast for the current financial year stands at about $18 billion only. 

Including today’s surge, Oracle stock is up nearly 200% versus its year-to-date low set in early April. 

What to Expect From Oracle Stock Moving Forward

According to Barchart, option pricing signals potential for a further increase in ORCL share price to $354.19 by the end of this week, and $398.03 by mid-December. 

That translates to another nearly 18% upside from current levels over the next four months. 

On the flip side, however, the aforementioned data indicates a potential pullback in Oracle stock to about $322 by the end of this week, and $278 by the end of 2025. 

Given the exciting pace at which the company’s artificial intelligence business is growing, though, the bull case sure seems much more likely to play out over the near and medium term. 

Oracle’s Guidance Has Analysts in ‘Shock’

In a post-earnings research note, Deutsche Bank’s senior analyst Brad Zelnick said “we’re all kind of in shock, in a very good way,” following Oracle’s exceptionally bullish forecast. 

Reiterating his “Buy” rating on Oracle shares, Zelnick said the company’s “truly awesome” quarter reinforces its position as a leader in AI infrastructure. 

Citi analysts also raised their price target on the AI stock this morning to $410, indicating potential for another 20%-plus upside from here. 

While Oracle stock is not particularly inexpensive to own at current levels, its forward price-earnings (P/E) ratio of nearly 45x is not unheard of for fast-growing artificial intelligence names. 

Wall Street Continues to Rate ORCL Shares at ‘Buy’

Wall Street more broadly is now in favor of owning Oracle stock for the longer term as evidenced in its consensus “Moderate Buy” rating on the Austin-headquartered firm at the time of writing. 

This article was created with the support of automated content tools from our partners at Sigma.AI. Together, our financial data and AI solutions help us to deliver more informed market headline analysis to readers faster than ever. On the date of publication, Wajeeh Khan did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.