Why Oracle Stock Dropped Today | The colorful fool

Why Oracle Stock Dropped Today | The colorful fool

By Rich Smith
Publication Date: 2025-11-25 20:06:00

I warned that Oracle stock was overpriced at $328 per share. Under $200… Oracle still costs too much.

Oracle Corporation (ORCL 2.58%) The stock was down 3.5% as of 2:45 p.m. Tuesday.

Investors can attribute this to DA Davidson analyst Gil Luria, who left his rating on Oracle stock at Neutral this morning… but lowered its price target on Oracle shares by 33%. Today, Luria values ​​Oracle at just $200 per share.

Image source: Getty Images.

Davidson distances himself from Oracle shares

Admittedly that is not the case sound Too bad. Oracle shares cost less than $194 today, or $200 Price target still means Oracle stock will rise, not fall. But consider what Luria has to say about Oracle stock, and you’ll see why this decline is more than a little concerning:

“When Oracle reported earnings on 9/9, the company gave the impression that multiple customers were responsible for the increase [backlog]but the next day we discovered that OpenAI accounted for almost all of the increase. …At the time, [Oracle’s $300 billion 5-year contract]…