Citi Reiterates Buy on Oracle (ORCL), Sees Pullback as Buying Opportunity

Oracle Corporation (NYSE:ORCL) is one of the AI Stocks Every Investor Should WatchOn October 10, Citi reiterated the stock as “Buy” and raised its price target to $415 per share from $395. According to the firm, the recent pullback in shares revolves around concerns regarding backlog quality and profitability.

The selloff is a buying opportunity, the firm noted. The company’s customer base is expanding, which is in turn driving its cloud growth.

“After a historic Q1, ORCL shares have traded off 10%+ from recent highs on concerns around quality of backlog, profitability concerns following a slew of press reports and broader AI bubble/circularity concerns.”

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Its earnings per share growth is forecast above 30% annually between fiscal 2026 and 2030. This is backed by efficiency gains and rising GPU margins, likely to reach 35%40% by decade’s end.

Oracle Corporation (NYSE:ORCL) is a database management and cloud service provider.

While we acknowledge the risk and potential of ORCL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than ORCL and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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