What Analysts Are Saying After Oracle’s Results Underwhelmed Investors [Video]

Oracle (ORCL) shares tumbled after the cloud company’s fiscal second-quarter revenue fell short of Wall Street’s expectations, but analysts are mixed on what to make of its future. 

Citi analysts said they’re “still not seeing meaningful upside to total cloud revenue” which grew 24% year-over-year to $5.9 billion, driving “muted estimate revisions.” The firm maintained a “neutral” rating but raised its price target to $194. That represents a nearly 10% premium after the Oracle stock dropped 8% to $176.80 intraday Monday. 

Deutsche Bank holds a “buy” rating and $200 price target. Oracle delivered “very solid F2Q results that prompted a second look” thanks to both artificial intelligence (AI) and non-AI successes.

Oppenheimer, which maintained a “perform” rating, said Oracle’s results were “less impressive than recent quarters” but similarly cited “robust growth” in the company’s Oracle Cloud Infrastructure (OCI) division.

Notably, OCI revenue rose 52% to $2.4 billion, beating the firm’s expectations. The company announced an expanded relationship with Meta …