Oracle (ORCL) shares remain in focus ahead of the artificial intelligence (AI) infrastructure firm’s Q1 results set to be published on Sept. 10 after market close. According to Barchart, consensus is for ORCL to earn $1.40 in earnings per share (EPS) for its fiscal first quarter, representing a 16.67% increase versus last year.
The earnings event arrives at a time when Oracle stock is regaining momentum, currently up about 42% versus its July low.
Options Sentiment Is Bullish for Oracle Stock
According to the options market data from Barchart, the recent rally in ORCL shares could extend further after the quarterly print.
The put-to-call ratio on contracts expiring Sept. 11 is set at 0.84x currently, indicating a bullish skew, with the upper price signaling potential for a 10% rally to about $177 through the end of this week.
That said, Barchart doesn't share the derivatives market’s optimism; its “24% SELL” opinion on Oracle suggests the technical momentum is not really in its favor heading into the earnings event.
In fact, the tech stock’s relative strength index (RSI) sits in the mid-60s at writing, indicating it is already approaching overbought levels.
Guggenheim Dubs ORCL Shares Its Best Idea
Investors should note, however, that Guggenheim analysts led by John DiFucci recommend buying Oracle shares heading into the quarterly release.
In a research note this morning, DiFucci dubbed the AI infrastructure firm both a “Best Idea” and a “Decade Stock,” and maintained his $400 price objective, suggesting the stock could more than double from here.
The analyst expects Oracle to record over $9 billion in new infrastructure-as-a-service (IaaS) annual recurring revenue, versus about $4.2 billion only in the prior quarter.
A solid 1.23% dividend yield makes the company even more attractive as a long-term holding in 2026, he concluded.
What’s the Consensus Rating on Oracle?
Other Wall Street analysts also agree with DiFucci’s positive view on Oracle for the next 12 months.
The consensus rating on ORCL stock sits at “Strong Buy,” with the mean price target of about $250 indicating potential for a more than 50% rally from here.
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.