Analysts Remain Bullish on Oracle (ORCL) Despite Q1 Earnings Miss, Highlight Cloud Growth Potential

Oracle's weaker-than-expected Q1 FY26 results failed to dampen analyst optimism, as several firms raised price targets citing strong cloud infrastructure momentum. Evercore ISI's Kirk Materne lifted his target to $340, emphasizing Oracle's expanding cloud backlog and strategic AI investments. Cantor Fitzgerald's Thomas Blakey was even more bullish, hiking his target to $400 on the back of a 35% surge in remaining performance obligations.

The market appears willing to overlook short-term earnings volatility as Oracle doubles down on cloud infrastructure spending. Sovereign and multi-cloud database gains further reinforce the company's positioning in enterprise technology stacks. 'When you're playing the long game in cloud and AI, quarterly noise matters less than contract velocity,' remarked one sector analyst who asked not to be named.