Piper Sandler Lowers Oracle Price Target to $210

Piper Sandler analyst Billy Fitzsimmons lowered the price target on Oracle (NYSE: ORCL) to $210.00 (from $240.00) while maintaining an Overweight rating.

“Solid F3Q26 Print and Increased FY27 Rev Guidance; ORCL provided breadcrumbs in its F3Q26 earnings that should help partially ease investor concerns, including: 1) AI capacity delivered in 3Q had a GM profile of 32% (within the 30-40% GM profile outlined at Oct AD), 2) ORCL signed $29B+ of AI contracts using a capex-light delivery model (customers prepay or BYO hardware) that does not require the raising of incremental funds to support, and 3) FY27 revenue guidance was raised to $90B (vs. $89B prior).

Notably, demand for cloud computing for AI continues to grow faster than supply (underpinned by RPO +325% y/y, 3Q capex of $19B); as such, management expects to “comfortably meet and likely exceed” its growth rate forecast for FY27 and beyond.

Risks feel largely contemplated in the current share price, while upside could be driven by fasterthan-expected AI monetization.

Maintain OW but reduce PT to $210 to reflect the multiple de-rating across software.”

This research note is reproduced verbatim from the issuing firm. Price Target never edits, paraphrases or alters analysts’ words — we only republish them in one place.