By Lisa Kailai Han
Publication Date: 2025-12-22 11:48:00
Wells Fargo believes Oracle is undervalued due to recent weakness tied to AI trading concerns. The bank reiterated its overweight position on the software stock. His $280 price target implies an upside of 46% from Friday’s close. Shares of Oracle have fallen 42% since their annual peak in September. ORCL YTD mountain ORCL year to date Wells Fargo analyst Michael Turrin said sentiment has become more negative in the near term. For example, the “AI commerce” narrative remains in question, he wrote, as leading AI providers face a competitive overhang. Some analysts are increasingly concerned about Oracle’s high OpenAI commitment, the sustainability of its commitments over the next few years and execution risks. “Post-launch feedback has tended to be more pessimistic, with investors raising questions about ORCL’s ability to deliver from both a funding and execution perspective given previously established targets. We see that all the bad, but hardly any good, is priced in,” the analyst wrote. However,…