Oracle Corporation (NYSE:ORCL) is among the 14 Best S&P 500 Stocks to Buy Now. On December 16, Barclays maintained its Overweight rating on the stock with a price target of $310.
Earlier on December 11, RBC Capital cut its price target on the stock to $250 from $310 while keeping a Sector Perform rating.
The adjustment followed the company’s mixed financial performance during the second quarter of fiscal 2026, as reported on December 10. While its diluted EPS of $2.26 beat estimates of $1.64 per share, Oracle’s reported revenue, adjusted operating income, and Remaining Performance Obligations (RPO) missed Wall Street’s expectations.
The Austin, Texas-based company’s revenue growth and earnings forecast for the third quarter also fell shy of analysts’ estimates. Moreover, Oracle Corporation (NYSE:ORCL) expects its capital expenditure for the full year to be $15 billion higher than initially projected after the first quarter.
In his research note to investors, the RBC analyst noted that growth in cloud revenue and RPO was offset by negative free cash flow and increased capital expenditures. He also said that investors were now looking towards efficient capital utilisation instead of revenue growth. The analyst added that any future stable share price upside would now depend on the company showing capital efficiency, credible free cash flow recovery, and sustained margins.
As of the close of business on December 17, Wall Street analysts have a consensus Moderate Buy rating for the stock, with a one-year average share price target of $308.87, representing an upside of 67%.
Oracle Corporation (NYSE:ORCL) provides enterprise software, cloud computing, and database management systems, helping businesses manage data, applications, and IT infrastructure.
While we acknowledge the potential of ORCL as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: 11 Most Oversold S&P 500 Stocks Heading into 2026 and Top 15 Lowest P/E Ratios of the S&P 500 in 2025.
Disclosure: None.
