Oracle (NYSE: ORCL) stock price has received a fresh bullish outlook after Oppenheimer raised its target on the software giant ahead of its fiscal fourth-quarter 2026 results, citing strong demand trends and continued momentum in cloud infrastructure services.
The investment firm maintained its ‘Outperform’ rating on ORCL shares and increased its price target to $275 from $235, representing a 17% increase.
Based on Oracle’s current share price of $213, the new target implies potential upside of nearly 29%.
Oppenheimer analyst Brian Schwartz reiterated Oracle as one of the firm’s top stock picks for 2026, pointing to expectations for strong fiscal fourth-quarter performance and sustained earnings growth.
The analyst highlighted healthy enterprise software demand across the industry, noting that recent earnings reports from peer companies have reinforced confidence in corporate spending trends.
A key factor behind the Oracle price target increase is growing demand for the company’s cloud offerings, particularly Oracle Cloud Infrastructure (OCI). According to Oppenheimer, robust capital expenditure spending by Oracle’s largest partners suggests stronger-than-expected demand for the company’s compute and infrastructure software products.
The firm’s proprietary analysis projects OCI growth could exceed Oracle’s guidance by approximately $180 million, equivalent to around 100 basis points.
Schwartz also indicated that OCI performance could come in roughly 400 basis points above broader market expectations.
The analyst believes stronger cloud growth could support higher OCI guidance for fiscal 2027, providing an additional catalyst for Oracle stock. The updated outlook comes ahead of Oracle’s fiscal fourth-quarter earnings release, a period that has historically been seasonally strong for the company.
Oracle earnings
Investor attention is now turning to Oracle’s upcoming financial results. For its fiscal third quarter ended February 2026, the company reported total revenue of $17.2 billion, up 22% from the same period a year earlier.
Oracle’s cloud business continued its rapid expansion, with combined Infrastructure-as-a-Service (IaaS) and Software-as-a-Service (SaaS) revenue reaching $8.9 billion, a 44% year-over-year increase.
The growth was driven largely by surging demand for Oracle Cloud Infrastructure, fueled by artificial intelligence workloads and enterprise cloud migrations.
With fiscal fourth-quarter results scheduled for release after the market closes on June 10, analysts expect Oracle to report earnings per share (EPS) between $1.89 and $1.96.
Oracle has guided for total revenue of between $18.9 billion and $19.2 billion, representing growth of 19% to 21% in U.S. dollar terms. Cloud revenue is expected to increase between 46% and 50% year over year, while the company anticipates non-GAAP EPS of $1.96 to $2.00.
Wall Street consensus estimates are broadly aligned with Oracle’s guidance, projecting revenue of approximately $19.1 billion and EPS of $1.96 for the quarter.
