15 Best Next Generation Dividend Aristocrats to Buy

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6. Oracle Corporation (NYSE:ORCL)

Number of Hedge Fund Holders: 97

Oracle Corporation (NYSE:ORCL) is one of the best next generation dividend aristocrat stocks to consider. BMO Capital Markets has turned optimistic on Oracle’s future, upgrading the stock from “Market Perform” to “Outperform.” Analyst Keith Bachman also raised his price target from $200 to $235, suggesting a potential upside of nearly 18%. Oracle shares have already climbed 20% this year, including a 13% jump following stronger-than-expected fourth-quarter results.

Bachman highlighted Oracle Corporation (NYSE:ORCL)’s $138 billion in remaining performance obligations (RPO), which surpassed the $132 billion consensus and reflected more than 100% year-over-year growth. RPO represents the total value of contracted services and products yet to be delivered, a key forward-looking indicator.

Bachman made the following comment:

“Hence, we think ORCL demand is durable over the next few years with some upside from very large partnerships. If Oracle is close to generating 100% RPO growth during FY26 and meeting revenue targets, we think shares will move higher, all else equal.”

Oracle Corporation (NYSE:ORCL) also projected its cloud business could grow more than 40% year over year and expects total revenue in fiscal 2026 to beat Wall Street forecasts. Bachman said these projections support stronger operating income growth. He noted that improvements in cloud database services and subscription revenue could act as further growth drivers, suggesting Oracle’s software segment, especially databases, is showing signs of recovery.

Oracle Corporation (NYSE:ORCL)’s dividend history is also strong, as it has paid regular dividends to shareholders since 2009. Currently, it offers a quarterly dividend of $0.50 per share and has a dividend yield of 0.93%, as of June 14.

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