Citizens Cut the PT on Oracle Corporation (ORCL) to $285 From $342 - Here's Why

Oracle Corporation (NYSE:ORCL) is one of the most promising future stocks to buy now. Citizens revised the price target on Oracle Corporation (NYSE:ORCL) to $285 from $342 on February 5 and reaffirmed an Outperform rating. The firm told investors that the stock’s shares have remained under pressure despite its $30 billion debt financing and tightening credit default swap spreads.

This was driven by factors such as uncertainty surrounding OpenAI’s delayed fundraising, technical selling tied to the mandatory convertible, concerns regarding the raise’s coverage being limited to near-term funding needs, and headlines around potential Texas data center reviews. Citizens added that these factors have outweighed the otherwise optimistic signals from Oracle Corporation’s (NYSE:ORCL) positioning in the AI infrastructure and the capital raise.

BMO Capital also revised the price target on Oracle Corporation (NYSE:ORCL) to $205 from $270 on February 4 and maintained an Outperform rating on the shares. It updated its model on the stock after the recent capital raise of debt, common equity, and preferred equity, adding that a positive step for Oracle Corporation (NYSE:ORCL) is that it is obtaining financing and would likely not need any more during 2026.

Oracle Corporation (NYSE:ORCL) provides products and services addressing aspects of corporate IT environments, including applications and infrastructure technologies. The company’s operations are divided into the following business segments: Cloud and License, Hardware, and Services.

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.

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