The US database software provider Oracle has experienced remarkable developments in recent months, characterized by rising revenues and increased price targets from analysts. These developments could be of great significance for investors in the German-speaking region, particularly in relation to technology investments and future revenue forecasts.
Rising Revenues
Oracle reported a consolidated revenue of $15.903 billion in the fourth quarter of 2024/2025, representing an 11% growth compared to the previous year. A key driver of this growth is the increase in cloud revenue, which is expected to accelerate to 40% in the fiscal year 2026, compared to 24% in the fiscal year 2025. Notably, the projected growth of Infrastructure-as-a-Service (IaaS) is expected to rise by 70%, compared to 51% in the previous year.
Increased Price Targets from Analysts
Several analysts have raised their price targets for Oracle, indicating the company’s positive growth potential:
- Keith Bachman from BMO Capital has increased the price target from $200 to $235, indicating a price potential of approximately 18%.
- Brent Thill from Jefferies has raised the price target from $200 to $220 while maintaining a buy recommendation.
- Brad Zelnick from Deutsche Bank and Patrick Walravens from Citizens JMP see a price target of $240, corresponding to an upside of about 20%.
- Some analysts have even set a price target of up to $250, indicating an expected revenue explosion starting in 2026.
Significance for Investors in the German-Speaking Region
These developments are particularly interesting for investors in the German-speaking region as they indicate strong growth potential in the technology sector. Rising revenues and the increased price target could encourage investors to consider investing in Oracle, especially if they are looking at long-term growth opportunities. However, it is essential to carefully evaluate market developments and specific forecasts to make informed investment decisions.
Conclusion
Oracle currently appears to be an attractive candidate for investment in the technology sector, supported by positive revenue forecasts and increased price targets from analysts. However, investors should always consider the current market situation as well as the specific risks and opportunities to adapt their investment strategies accordingly.