New York, January 6, 2026, 10:48 EST — Regular session
Oracle shares dipped 0.1% to $192.33 on Tuesday as Jefferies reiterated a “buy” rating and kept a $400 price target, even as broader U.S. equities and the tech sector traded higher. The S&P 500 ETF SPY rose 0.3%, while the tech-heavy QQQ and technology sector ETF XLK added about 0.6% and 1.0%, respectively. Investing.com
The call lands after a bruising stretch for Oracle, which has become a proxy for investor anxiety over the cost of building artificial intelligence data-center capacity. In December, Oracle forecast third-quarter sales and profit below Street expectations and said fiscal 2026 capital spending — money earmarked for items such as data centers — would rise by $15 billion versus earlier estimates, while executives sketched out alternative financing approaches on the earnings call.
Jefferies analyst Brent Thill said Oracle remained a top pick despite investor debate over how fast the company can scale infrastructure and turn demand into booked revenue. “Oracle is a top pick despite ongoing debate around its growing AI-related debt,” Thill wrote in a client note referenced by Investors.com. Investors.com
The stock is well off its 52-week high of $345.72, with a 52-week range of $118.86 to $345.72, underscoring how sharply sentiment has swung since last year’s AI-fueled rally. Oracle’s market value was about $562 billion, according to the company’s investor relations site.
Oracle’s valuation remains a flashpoint as investors weigh growth versus spending. In a December Reuters report, Oracle traded at a forward price-to-earnings ratio — a common valuation gauge based on expected earnings — of 29.56, compared with Microsoft at 27.24 and Amazon at 29.06, based on LSEG data.
Still, the downside case has not gone away: a key funding backer walked away from talks on a major Michigan data-center project tied to OpenAI, Reuters reported in December, highlighting how financing terms and capital intensity can shape Oracle’s AI buildout.
Near-term, income-focused holders also have a calendar item: Oracle has a $0.50-per-share quarterly dividend payable on January 23 to shareholders of record on January 9, a filing showed.
The next major test is Oracle’s next earnings update, with the company saying its fiscal third-quarter 2026 results will be announced in mid-March.
