Oracle (ORCL) Drops as Analyst Turns Neutral

We recently published 10 Stocks With Massive Losses; AI Stocks Not Spared. Oracle Corp. (NYSE:ORCL) is one of the worst performers on Monday.

Oracle dropped for a second day on Monday, shedding 4.85 percent to finish at $277.18 apiece, as investors took heart from an investment firm’s conservative rating, while repositioning portfolios ahead of its upcoming annual shareholders’ meeting.

In a market note, private banking firm Berenberg maintained its “neutral” rating and $306 price target for Oracle Corp. (NYSE:ORCL), marking a 10.4 percent upside potential from its latest closing price.

Meanwhile, Jefferies gave the company a “buy” recommendation with a price target of $400, or a 44 percent premium over its last closing price.

Jefferies’ coverage reflected Oracle Corp.’s (NYSE:ORCL) new five-year targets, with revenues of $225 billion and $21 in earnings per share, or a 31 percent and 28 percent compounded annual growth rate, respectively.

In other developments, Oracle Corp. (NYSE:ORCL) is set to hold its annual shareholders meeting on November 18, where investors will closely watch out for cues of more partnerships.

While we acknowledge the potential of ORCL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.