Nasdaq
華爾街日報Oracle Stock Set For Continued 'Relief Rally' Says Guy Adami Ahead Of Earnings: Why The Investor Thinks The Shares Will Recover
Oracle Corp's (NYSE:ORCL) stock could extend its recent rebound, according to RiskReversal co-founder Guy Adami.
Oracle stock has risen roughly 10% in the past five days. Since Oct. 1 to Dec. 9, the price is down about 23%, according to Benzinga Pro.
Oracle Stock Action Ahead Of Earnings Draws Wall Street Attention
On Tuesday, while appearing on CNBC's Closing Bell Overtime, Adami said that he expects the stock's current bounce to continue.
"I think it will recover," Adami said, adding that he reviewed Oracle's Sept. 10 announcement of a large revenue deal and believes the stock overreacted at the time.
In September, it was reported that Oracle had secured a roughly $300 billion, five-year deal to supply computing power to OpenAI, one of the largest agreements of its kind in history.
See Also: Oracle’s AI Strategy Shake-Up Sparks Market Jitters As Shares Plunge 25%
Why The September Revenue Announcement Still Matters
Adami said the stock surged after the company highlighted revenue but did not provide clear updates on earnings, which, in his view, caused shares to trade at levels that were unsustainable.
He also referred to a technical "gap" near the $255 level, noting he expected the stock to eventually trade back into that range.
Adami said he did not expect Oracle to trade below $200 during the pullback and believes the current market action supports further upside. The share price went below the $200-mark in November 2025.
"I think this relief rally we're seeing is a continue," he said. "You'll see a bounce somewhere between that $250 and $255… Sort of equilibrium for this name."
Oracle Set To Post Higher Q2 Revenue And Earnings
Oracle is expected to report its second-quarter financial results on Wednesday after the market closes.
Analysts project Oracle will post second-quarter revenue of $16.22 billion, up from $14.06 billion a year ago. The company has fallen short of Wall Street's revenue forecasts in seven of the past 10 quarters.
Wall Street also expects Oracle to deliver earnings of $1.64 per share, compared with $1.47 in the same quarter last year. The company has missed EPS estimates in three of the last four quarters, though it has topped expectations in seven of the past 10 overall.
In September, Oracle reported first-quarter revenue of $12.45 billion, a 9% increase from a year earlier, coming in just below the Street's consensus estimate of $12.46 billion.
Benzinga’s Edge Stock Rankings suggest ORCL may face short- and medium-term headwinds, while signaling long-term strength, with additional performance insights available here.
Read Next:
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo Courtesy: Jonathan Weiss on Shutterstock.com