Analysts say even the bearish scenario for Oracle Stock is bullish. Should you save the truck to ORCL?

Oracle ( ORCL ) investors probably didn’t have a happy Thanksgiving, considering the stock price decline. Shares have fallen more than 26% over the past month as the technology company has suffered from growing market concerns over artificial intelligence spending and a general decline in AI stocks.

But all is not lost. Analysts from Deutsche Bank and HSBC both issued bullish ratings on Oracle just before the holidays, indicating that the company’s weakness could be short-lived. HSBC reiterated its “Buy” rating and price target of $382, highlighting its remaining performance obligations of more than $500 billion. And Deutsche Bank analyst Brad Zelnick wrote that Oracle “gets little to no credit for its activity with OpenAI.”

The bullish commentary helped Oracle stock jump on Wednesday. It now remains to be seen whether the company can maintain this momentum and reverse its recent losses.

Oracle is an Austin, Texas-based cloud computing company that makes software and systems that its customers use to store, manage and analyze data. The company has a market capitalization of $575 billion, making it one of the 20 largest publicly traded companies in the world.

Despite last month’s drop, stock prices are up 21% in 2025, about 4% better than the returns of the S&P 500 ($SPX). However, it lags slightly behind the performance of the S&P 1500 information technology sector.

Oracle is currently trading at a forward price-to-earnings ratio of 29.6, compared to a five-year average price-to-earnings ratio of 30.6. So, historically, Oracle trades at a value consistent with what shareholders should expect. The stock offers a modest dividend of $2 per share, or a dividend yield of 1%, paid on a quarterly basis.

Oracle announced its first quarter fiscal 2026 results on September 9. Revenue was $14.92 billion, up 12% from the previous year, and net profit was $2.92 billion, unchanged from the previous year. Oracle reported earnings per share of $1.47, missing analysts’ estimates by just a penny.

Much of the company’s growth in the quarter was in its cloud computing division, whose revenue jumped 28% in the quarter compared to last year. Software revenue fell 1%, hardware revenue rose just 2%, and the company’s services revenue rose 7%.