NEW YORK, Jan 13, 2026, 18:04 EST — After-hours
- Oracle dropped 1.2% on Tuesday and saw minimal movement in after-hours trading
- Goldman Sachs raised Oracle to a “Buy” rating, setting a $240 price target
- Traders are focused on this week’s macro data and Oracle’s dividend payout on Jan. 23
Oracle shares dropped 1.17%, ending Tuesday at $202.29, with minimal movement after hours, trimming some of Monday’s gains. During the day, the stock swung between $207.80 and $200.66.
The back-and-forth matters because major software stocks are once again reacting to shifts in interest-rate expectations. Oracle, in particular, has turned into a focal point for wagers on hefty data-center investments linked to AI workloads. Whether rates cool off or climb higher will influence how investors value long-term growth.
Goldman Sachs stirred the pot by upgrading Oracle from “Neutral” to “Buy,” setting a $240 price target, reports Investing.com. Analyst Gabriela Borges highlighted Oracle’s strong foothold in AI compute workloads and suggested the company may boost its slice of new cloud revenue in the coming years. Investing.com
Borges kicked off coverage of the U.S. software sector, highlighting Microsoft, Oracle, and ServiceNow as Buy-rated picks, according to Longbridge. The report pointed to AI adoption as a key driver boosting software demand but warned that firms unable to convert spending into revenue face tougher prospects.
Oracle’s latest earnings report from December highlighted the growing debate. Cloud revenue jumped 34% year-on-year, hitting $8.0 billion. Meanwhile, “remaining performance obligations”—the backlog of contracted work not yet recognized as revenue—climbed to $523 billion. Oracle
Investor Michael Burry revealed he owns put options on Oracle and slammed the company’s strategy in a recent post, reported. Put options let holders sell shares at a predetermined price, often used to bet against a stock or protect existing positions.
Bulls face a timing risk. Oracle is pouring money into expanding its cloud capacity, but if turning that expansion into billable growth stalls, the stock could remain volatile—especially with financing costs staying elevated or if customers drag their feet on major migrations.
Income investors should note Oracle’s upcoming dividend schedule: The company will pay 50 cents per share on Jan. 23, following the Jan. 9 ex-dividend date.
Traders are focused on a busy slate of U.S. data this week: Wednesday brings real earnings figures, followed by producer prices on Thursday, per the Bureau of Labor Statistics calendar.
Oracle’s fiscal third-quarter earnings are expected in mid-March, according to the company’s investor site. Investors will focus on updates about cloud capacity, new contracts signed, and the pace at which the backlog is turning into revenue.
